- Slovakia has reduced the tax gap on value added tax (VAT) in 2021
- The VAT tax gap decreased by 3.4 percentage points year-on-year
- Streamlining of analytical and control activities of the financial administration contributed to the decrease
- The Covid 19 pandemic also played a role in reducing tax evasion risk
- The state budget received 270 million euros more due to the decrease in the tax gap
- The positive development was attributed to improved internal financial management processes and focus on tax obligation evasion
- The pandemic led to restrictions in certain sectors, reducing the tax gap in those areas
- Increase in cashless payments and online shopping also reduced the risk of tax evasion.
Source: financnasprava.sk
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
