The Bulgarian National Assembly has formally opposed the proposed EU INC. regulation, a new 28th regime corporate legal framework, in an opinion transmitted to the Council of the EU on 22 June 2026. The opinion, received by the Council on 19 June 2026, objects to the proposal in its current form, arguing that it would create legal uncertainty and undermine national company law.
The Bulgarian parliament calls for a more thorough impact assessment and warns that the optional EU-wide corporate form could lead to regulatory arbitrage, as companies might choose the regime to circumvent stricter national rules on worker participation, taxation, and transparency. The opinion also raises concerns about the lack of clarity on how the EU INC. would interact with existing national corporate forms and the potential for increased administrative burdens for small and medium-sized enterprises. The proposal, published by the European Commission on 19 May 2026, aims to create a uniform corporate legal framework for businesses operating across EU member states, offering a single set of rules for incorporation, governance, and reporting. The Bulgarian parliament's opposition adds to growing skepticism from several member states, including Germany and France, which have questioned the added value of the 28th regime and its compatibility with national corporate governance traditions.
The European Parliament is expected to debate the proposal in its Legal Affairs Committee in September 2026, with a plenary vote possible by year-end. The Council will need to reach a unanimous agreement for the regulation to be adopted, making national parliamentary opinions a key factor in the legislative process.