Tax cheating rampant on Greek islands: report

In spite of government commitments to raise tax revenue as a condition for obtaining massive EU financial assistance, cash registers on many Greek islands ignore issuing VAT receipts, the Greek press reports.

As many as 100% of businesses on some Greek islands are evading taxes, the news site “The Greek reporter” wrote.

Greece is enjoying a record-breaking tourist season, but the results of tax inspections so far show that the government is not benefiting, as almost all the money collected in many cases is being kept.

The Financial Crime Unit (SDOE) with the support of the Police and Coast Guard Units, conducted inspections under the code name Theros 2013 to find tax cheats, uncovered drink smuggling and unlawful trading, the newspaper To Vima reported.

Between 6 and 18 August, more than 100 SDOE teams conducted 1,256 inspections. According to the results, 586 businesses have committed 5,668 violations, mostly relating to the non-issuing of receipts and the illegal operation of cash registers.

It was not reported if anyone was arrested or prosecuted, but SDOE ordered temporarily closure of 13 businesses for 48 hours, among which were three night clubs, four beach bars and six restaurants.

In one case, in Fthiotida, a night club had been operating two cash registers for five years, without documenting revenue or paying the VAT it collected, cheating both customers and the government.

According to the results, the average violation rate reached 46.65%. It is much higher in the tourist areas, as evidenced by the following list:

1. Amorgos – Paxos – Symi: 100%

2. Santorini: 96.43%

3. Evia: 85%

4. Rhodes: 81%

5. Myconos – Andros: 90%

6. Paros – Antiparos: 77.8%

7. Crete: 62.9%

8. Tinos: 60%

9. Attica: 54%

10. Halkidiki: 34%