BUSINESS

Top EU official sends warning on excessive VAT evasion

By Evgenia Tzortzi

A top European official expressed concern on Tuesday at the level of value-added tax evasion in Greece, which amounts to an estimated 9 billion euros or 4.7 percent of the country’s gross domestic product.

Speaking on the sidelines of Task Force for Greece’s presentation of its sixth activity report, he said that it was one of the most serious problems on which the efforts of the tax collection mechanism should focus, along with the cashing in of debts, monitoring very wealthy individuals and combating fraud.

The same official also expressed unease regarding the exhaustion of Greek taxpayers’ capacity to pay more, as reflected by the fact that new debts have soared to 10 billion euros. He noted that the situation in Greece is being aggravated by the lack of action in the property market that would otherwise have allowed for the liquidation of assets for tax obligations to be met by debtors.

Online