VAT news tagged as "Missing trader fraud"

Europe

EU VAT fraud sweeping reverse charge proposal

December 29th, 2016

The European Commission has proposed allowing member states to introduce the domestic reverse charge on all B2B transactions above €10,000 across all sectors. The move would effectively remove VAT payments in the supply chain in an effort to reduce VAT fraud, estimated to cost the EU over €40 billion per annum.  Such a measure would be …


United Kingdom

UK VAT fines if ‘should have known’ of fraud

September 30th, 2016

The UK’s HMRC has launched a consultation on VAT fraud, which includes introducing potential fines on companies that ‘knew or should have known their transactions were connected with fraud’. Arguably, EU case law points to parties in a fraudulent transaction who merely knew or should have identified the fraud (didn’t instigate or benefit from the …


Italy

Italy accounts for 29% of all missing EU VAT

September 10th, 2015

In the European Commission’s latest ‘VAT Gap’ study, Italy is shown to account for 29% (€48 billion) of the estimated total missing VAT in the EU (€168 billion). The Commission-sponsored report puts the total missing EU VAT at 15% of the anticipated revenues. In Italy, this proportion is 29%. Italy has recently introduced many measures …


United Kingdom

EU VAT fraud spreading to UK pharmaceutical industry

March 4th, 2015

The UK’s tax authority, HMRC, is stepping-up its investigations into the emergence of EU VAT fraud in the pharmaceutical and medical supplies industry. This type of fraud, which is based around gaps in the EU VAT regime, has cost member states billions in lost revenues in other sectors over the past 10 years, according to …