The tax authorities paid a company visit to a trader in electronic equipment, a market in which cross-border VAT (carousel) fraud regularly occurs. VAT (carousel) fraud means that at some point in the commercial chain, the VAT due is not paid, while the VAT charged is reclaimed from the tax authorities. Entities make transactions and deliveries to generate VAT (reclaim, do not pay). If the tax authorities are on the trail of fraud, entities often turn out to be not (any longer) active, emptied and/or a sham company with a cat catcher. These entities are referred to as: “missing trader”, or in Dutch: “ploffer”.
Source BTW jurisprudentie
