High VAT rates and VAT compliance gap in Greece

1.10.2015

Question for written answer E-013414-15
to the Commission
Rule 130
Theodoros Zagorakis (PPE)

In its annual report on tax reforms in the EU Member States, the Commission pointed to the need for more effective tax collection and closer compliance with VAT requirements in Greece.

According to the Commission report, the VAT compliance gap in Greece is above the EU average, with 35 out of every 100 euros being lost to tax evasion.

In addition to the shortcomings of Greek tax collection arrangements and the absolute need for immediate reform of the tax system, does the Commission consider that there is a link between the VAT compliance gap and the particularly high VAT rates imposed in Greece in recent years?