On 22 June 2018, the Council agreed on measures to strengthen administrative cooperation in order to improve the prevention of VAT fraud.
The proposed regulation addresses the most widespread forms of cross-border fraud.
It sets out to:
- improve the exchange and analysis of information shared by the member states’ tax administrations and with law enforcement bodies;
- strengthen Eurofisc, a network of national tax officials for the exchange of information on VAT fraud;
It also introduces new instruments for cooperation such as administrative enquiries carried out jointly.
“Improving cooperation between our tax administrations is essential if we are to clamp down on tax fraud. Unacceptably high amounts of VAT revenue are being lost, and this directive will help fix the problem.”
Vladislav Goranov, minister for finance of Bulgaria, which currently holds the Council presidency
According to the Commission, an estimated €150-160 billion of tax revenue is lost annually due to shortcomings in the VAT system, including fraud. The Commission's proposal indicates that about €152 billion was lost in 2015.
Read the full press statement here.
Visit the meeting the page on the website of the Council of the European Union.