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With the increasing popularity of online commerce, more and more businesses are selling goods and services through internet platforms. It’s important for online store owners to be familiar with the legal requirements for registering an online store with the National Revenue Agency (NRA). In this article, we will explore when and why an online store needs to be registered with the NRA, as well as what the registration process involves.
When is it obligatory to register the store with the NRA?
An online store must be registered with the NRA when it accepts cash payments or payments on delivery. In this case, the use of a cash register and the issuance of cash receipts are mandatory, making registration necessary.
The same applies when accepting payments via debit or credit cards, electronic wallets, or other electronic methods (Stripe, PayPal), which require the use of a cash register or the submission of an audit file of the sales to the NRA.
When selling on marketplaces such as Amazon, eBay, or Emag, it is necessary to register the online store with the NRA under the category “Platform (Marketplace).” If there is a physical store issuing cash receipts and an online store accepting payments by bank transfer and/or cash on delivery, the registration of the online store with the NRA is mandatory because there is an obligation to issue cash receipts in the physical store.
In which cases does the online store not need to be registered with the NRA?
Registration with the NRA is not necessary when all payments from end consumers are made directly via bank transfer to the company account and invoices are issued for each sale. This exempts from the obligation to use a cash register and, consequently, from the registration of the online store with the NRA.
The same applies if payments are accepted through cash on delivery + postal money order (PMM) using courier services like Speedy or Econt, but only when specific information is sent to the customer. This applies only within the territory of Bulgaria.
What happens if payment systems like Stripe are used?
Using a payment system like Stripe to accept payments requires registration with the NRA, as Stripe is not considered a direct bank transfer.
Payments through Stripe and similar platforms go through an intermediary and require the use of a cash register and the issuance of cash receipts or the submission of an audit file with the sales to the NRA.
Therefore, the online store must be registered with the NRA, even if all payments go through Stripe and then into the company account.
Process of registering an online store with the NRA
When an online store falls into the categories that require registration with the NRA, it must be done before the first sale.
The process includes filling out documents with information about the name and domain of the online store, the company’s name, BULSTAT, VAT registration (if applicable), and how sales are conducted – whether through an owned or leased online store.
Then, a registration application for the online store, which can be found on the NRA’s website, is filled out. The application is submitted at an NRA office or online with an electronic signature.
Conclusion
Registering an online store with the NRA is an important step for any online business owner who sells to end consumers and accepts cash payments, payments on delivery, or via electronic methods that require the use of a cash register.
If all payments are made by bank transfer and invoices are issued for each sale, registration is not necessary. Compliance with these requirements not only ensures the legality of the business but also increases customer trust.
If you have questions or need advice about online stores, do not hesitate to write to us or contact us for a free consultation.