Italian authorities stopped a case of international carousel fraud

The Italian authorities have stopped a case of “carousel fraud”, an international method of VAT evasion. According to the EU, the practice leads to losses of around EUR 50 billion in total per year.

Carousel fraud is one of the most damaging international frauds in the EU. The fraudsters import VAT-exempt goods from other EU countries, sell them to domestic buyers and collect VAT from them. Then the fraudsters disappear, and the government is unable to collect the tax money.

In this case, the fraud involved the sale of computer and technology products in southern Italy, near Naples. In total, six companies were operating between Italy, Slovenia and Estonia that issued false invoices for non-existent purchases of computer and technology products in the southern Italian region of Campania. An investigation is underway into 49 suspects of being involved in this type of VAT fraud.

Source: occrp.org

- 05 July 2019 - EN