Single Audit File SAF-T: why is it needed, how does it work, and when does it come into effect?
🗂️📤What is SAF-T?
SAF-T (Standard Audit File for Tax) is an international standard for electronic data exchange between taxpayers and tax authorities. The standard, developed by the Organization for Economic Cooperation and Development (OECD), has been introduced in a number of countries, and is due to be introduced in Bulgaria on January 1, 2026.
🎯🔍Why is it necessary (purpose of SAF-T)?
- Increasing transparency
By publishing detailed accounting information, tax authorities (NAV) can more accurately verify income, expenses, payments, asset movements, inventory, etc. This facilitates audits and control.
- Automation and efficiency
The structured format (XML) enables automated data processing — the NRA can perform analyses, checks, and sampling without manual entry or partial data.
- Reducing the risks of tax fraud
When the tax administration has the entire set of accounting data, it becomes more difficult to conceal transactions or manipulate information.
- Unification and standardisation
Different companies submit their data in the same format. This “standardization” makes things easier for both the companies (who know what is required) and the NRA (which receives uniform files).
- Adapting to digitalization
The introduction of SAF-T is part of a broader trend towards the digitization of tax administration.
🇧🇬⚙️💻How will SAF-T work in Bulgaria?
In Bulgaria, the obligation to submit SAF-T is being introduced gradually.
The first stage, which includes the largest companies, begins on January 1, 2026.
The criteria for inclusion in the first “wave” are cumulative: according to the amendments to the Tax and Social Security Procedure Code (Tax and Social Security Procedure Code), they must be a “large enterprise” within the meaning of the Accounting Act and have either net revenues exceeding BGN 300 million or tax/social security liabilities exceeding BGN 3.5 million as of December 31, 2023.
For the first six monthly reports, there is a possibility for corrections — companies can correct them until the submission of the seventh monthly report.
Frequency of submission:
- Monthly: basic data (all accounting records, invoices, payments) — by the 14th day of the following month.
- Annually: information on fixed assets, by June 30 of the following year.
- Upon request by the National Revenue Agency: data on inventory and its movements.
Penalties: if submitted late, a financial penalty of between BGN 5,000 and BGN 15,000 may be imposed. For repeat offences, the penalty is between BGN 10,000 and BGN 30,000.
📅⏳When does it come into effect?
The changes were made through the Tax and Social Security Procedure Code (DOPK), adopted with the state budget for 2025.
The law imposing SAF-T officially enters into force on January 1, 2026, for the first group of companies.
Full implementation (“roll-out”) will take place gradually and is expected to be completed by 2030, when almost all businesses will be covered.
🏢📊⚡What does this mean for businesses in practical terms?
Companies must assess the readiness of their accounting systems—whether their system can extract the necessary data (invoices, payments, disclosures, etc.) in the required SAF-T format.
It is important to follow the instructions of the National Revenue Agency (NRA) — they publish the file format, XSD schema, nomenclatures, and validation rules.
A process for corrections should be provided for, especially during the first six months — it is critical to implement internal control over the submitted files.
👉 If you are looking for an experienced accounting team or consulting firm to help with data mapping and file generation, Saad Consulting is your trusted partner.