Spectator on facebook

Spectator on facebook

IFP: Slovakia lost €2.3 billion in uncollected VAT in 2010

Slovakia’s estimated losses from uncollected VAT amounted to €2.3 billion in 2010, equivalent to 3.5 percent of GDP, the Financial Policy Institute (IFP) of the Finance Ministry said on Wednesday, March 14.

Slovakia’s estimated losses from uncollected VAT amounted to €2.3 billion in 2010, equivalent to 3.5 percent of GDP, the Financial Policy Institute (IFP) of the Finance Ministry said on Wednesday, March 14.

This means that there was relative growth in losses linked to VAT collection. Overall losses in 2000-05 were stable at 18 percent of the originally projected figures. "Ever since 2006, the tax loss has gradually risen, to 35.9 percent in 2010," reads the IFP material, as quoted by the TASR newswire. The reduced efficiency of VAT tax collection can also be seen in international comparisons, as the deviation from the EU average reached 1.6 percent of GDP in 2009, amounting to 1.2-percent of GDP growth in comparison with 2005.

"In other words, if we had enjoyed the same efficiency in tax collection processes on the level of the EU average, the basic VAT rate could have been 4.7 percentage points lower while maintaining the current VAT income," said the institute. The tax authorities are currently able to identify only 30 percent of incidences of VAT-evasion.

Source: TASR

Compiled by Zuzana Vilikovská from press reports
The Slovak Spectator cannot vouch for the accuracy of the information presented in its Flash News postings.

Top stories

Suicide game does not exist and visa-free regime for Ukrainians is not a lie

The Slovak Spectator brings you a selection of hoaxes from the past two weeks.

There is no computer game that makes people commit suicides.

It’s not easy being an ‘alien’ in Slovakia

Are Slovaks scared of foreigners? The stories of those who are trying to make their homes here suggest that ignorance and bureaucratic inertia, rather than fear, cause more problems.

Dealing with state offices may be difficult and time-demanding.

President Kiska uses train for first time Photo

After criticism from coalition MPs for flying and a troublesome car trip, Slovak President Kiska to commute to Bratislava by international train, boarding it in his hometown of Poprad.

President Kiska gets off the IC train in Bratislava.

What has remained here after Stoka, Propeller or Cvernovka? Photo

The book BA!! Places of Living Culture 1989-2016 brings authentic accounts about 38 independent cultural spots in Bratislava.

Blaho Uhlár, founder of the Stoka theatre, in front of the theatre in 2006.