Scheme for cross-border tax fraud worth over 13 million euros has been busted

More than 80 searches have been carried out in nine cities in Bulgaria as part of an investigation into cross-border VAT fraud that caused damages of over 13 million euros. The actions were taken at the request of the European Public Prosecutor’s Office (EPPO). Six Bulgarian citizens have been arrested, reports BNR Brussels correspondent Angelina Piskova.

The EPPO is focusing on a criminal group operating since 2019 that carried out VAT fraud - a complex criminal scheme exploiting EU rules on cross-border transactions between member states, as these are exempt from value-added tax. Through more than 60 companies in Bulgaria, Greece, and Romania, fictitious trade transactions were declared in order to request VAT reimbursement from national tax authorities - reimbursements to which the suspects were not entitled, as the supposed suppliers, also controlled by the group, had disappeared without making any payments.

Edited by Miglena Ivanova
English version: R. Petkova