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QROPS Bulgaria | UK Pension Transfers for British Expats in Bulgaria

Transferring a UK Pension to Europe as a Resident in Bulgaria

Residents in Europe have the option of transferring a UK pension scheme to a Qualifying Recognised Overseas Pension Scheme (QROPS) in Malta.

Malta is a country in the European Union and a member of the European Economic Area.

A QROPS in Malta is a regulated pension scheme and retirement benefits can be received anywhere throughout the European Economic Area (EEA).

Moving to Bulgaria | UK Pension Transfers to a Pension Scheme in Europe

If you are moving to Bulgaria, it is possible to transfer private pension schemes in the UK to Europe by setting up a QROPS in Malta.

It is possible to set up a QROPS in euros rather than pounds sterling.

Transferring a Pension to Europe

You may want to move some or all of your pension fund (sometimes called a ‘pension pot’) if:

  • you’re changing job
  • your pension scheme is being closed or wound up
  • you want to transfer to a better pension scheme
  • you have pensions from more than one employer and want to bring them together
  • you’re moving overseas and want to move your pension to a scheme in that country


Tax on a Malta QROPS for Residents in Bulgaria

  • No tax at source in Malta if resident in the European Economic Area
  • There is a double taxation agreement between Bulgaria and Malta
  • Local taxes in Bulgaria apply

Tax on Transfer

There is no tax on transfer under current rules.

However, there is an Overseas Tax Charge (OTC) which can apply if you leave the European Economic Area (EEA) within five years of transferring your pension scheme.

How to Transfer a UK Pension to a QROPS

A financial adviser can provide you with the necessary forms to begin the process. An adviser will guide you through the process and make recommendations based on your circumstances.

Please contact us for more information.

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  Pic: Varna Beach on the Black Sea in Bulgaria

Income Tax in Bulgaria

You will be taxed on your worldwide income if you are resident in Bulgaria If you are living in Bulgaria for more than 183 days a year.

Bulgarian residents are taxed on their worldwide income and non-resident individuals are taxed on their Bulgarian-sourced income. Effective since January 1, 2008, a 10% flat tax on personal income has been introduced.

Click here to read the full income tax act of Bulgaria.

Tax on a UK Pension as a Resident in Bulgaria

A UK state pension is taxed in the UK only. The UK and Bulgaria have no social security agreement in place, so a UK state pension will be frozen at its current rate upon first payment, with no increases linked to inflation.

Please contact us for more information.