Tax policy is the essence of the economic and fiscal policy of the state and an important instrument in the regulation of the macroeconomic proportions. Besides being a key component in the fiscal policy, taxation policy shall also be considered as an important lever for stimulating foreign direct investment, economic growth and employment.

The effective tax policy aimed at ensuring fiscal and macroeconomic stability and supporting economic growth, investment and employment will be carried out by means of:

• Making a comprehensive analysis of the taxation policy of the Republic of Bulgaria;
• Elaboration of a concept paper for a new effective model of tax policy and reforms relating to tax relief in accordance with EU's state aid legislation in the 2014-2020 period;
• Making an assessment of the impact of the new tax policy model on budget revenues, economic development, investment and employment;
• Holding a public debate on the country's overall tax policy;
• Making a roadmap for implementation of the new tax policy and reform model in the tax system;
• Making an analysis of the tax system by types of taxes and structural elements;
• Reducing the administrative burden and expenses for businesses and citizens;
• Effective tax concessions urging investment, innovation and employment.

The Government's taxation policy is oriented towards decreasing the share of the shadow economy and combating tax evasion and avoidance.