Brussels, 04/09/2015 (Agence Europe) - Taxation Commissioner Pierre Moscovici urges the EU member states to take measures to combat tax fraud across the board, in the light of the latest 'VAT gap' figures for 2013.
Figures published on Friday 4 September show that the overall VAT gap (i.e. the difference between the amount of VAT due and the amount actually collected) rose by €2.8 billion to €168 billion (15.2%) in all EU member states bar Cyprus and Croatia.
The VAT gap comes from fraud and tax evasion, along with bankruptcy, insolvency and calculation errors.
The report explains: “These overall developments were in line with general economic conditions. The EU economy was essentially stagnant in 2013, while nominal final consumption rose marginally by 0.6 percent.”
As in the previous year, member states range from a low of 4.1 percent in Finland, 4.2 percent in the Netherlands and 4.3 percent in Sweden to a high of 41.1 percent in Romania, 37.7% in Lithuania and 34% in Greece (see EUROPE 11183).
Some fifteen member states decreased their VAT gap, with the largest improvements in Latvia, Malta and Slovakia. Eleven increased the gap, with the greatest deteriorations in Estonia and Italy.
“This important study highlights once again the need for further reform in VAT collection systems across the EU,” commented Pierre Moscovici. (Élodie Lamer)