VAT News

VAT Gap Report Highlights Significant Losses in VAT Revenue Across Europe

The results of a lengthy study released by the European Commission highlight EU countries lost €137 billion in Value-Added Tax (VAT) revenues in 2017.

Referred to as the 'VAT Gap', or the overall difference between the expected VAT revenue and the amount actually collected, has reduced compared with previous years but still remains very high.

During 2017, collected VAT increased at a faster rate of 4% than the 2.8% increase of VAT Total Tax Liability. As a result, the overall VAT Gap in EU countries saw a decrease in absolute values of approximately €8 billion, or 11.2% in percentage terms.

Related articles

France Cracks down on VAT Fraud on e-commerce 

In a bid to further their clamp down on digital tax and VAT fraud, the French VAT authorities have released further details about the obligation for online e-commerce businesses to provide extensive details about all French sales.

Read more
South Africa: Digital Services VAT and Who Needs to Register for it

South Africa is broadening its definition of what constitutes a digital service forcing VAT registrations in the country.

Read more
Making Tax Digital: Are you Ready for Phase 2?

When Phase 2 of Making Tax Digital is rolled out in April of 2020, over one million businesses of all sizes will be affected by major factors that were not prevalent in phase 1.

Read more