Andorra and Bulgaria sign an agreement to prevent double taxation

Andorra and Bulgaria have signed a double taxation agreement (DTA), an agreement designed to strengthen tax cooperation between the two countries and facilitate bilateral economic relations. This was announced by the Government of Andorra in a press release on 19 June 2026.

The signing took place in the Bulgarian city of Varna and was formalised by Andorra’s Minister of Finance, Ramon Lladós, and his Bulgarian counterpart, Galab Donev. The agreement is the result of several years of contacts between the authorities of both states and technical negotiations carried out during 2026.

The agreement aims to prevent the same income from being taxed simultaneously in both countries, establishing mechanisms to eliminate situations of double taxation. It also incorporates measures designed to prevent tax evasion and provide greater legal certainty for individuals and businesses carrying out economic activities in both territories.

With this signing, Andorra is expanding its network of international tax treaties, a tool that the Principality has been promoting in recent years to facilitate economic exchanges and strengthen trade relations with other countries.

The signing of the agreement took place during the annual meeting of the International Monetary Fund (IMF) constituency, also held in Varna. During the meeting, issues relating to macroeconomic and financial resilience, the impact of digitalisation on productivity and the public sector, and the integration of countries into European and global value chains were discussed.

The agreement must now undergo the relevant ratification procedures before it can enter into force in both countries.