The Polish tax authorities have concluded bilateral cross-border agreements organizing cooperation to combat VAT fraud with a number of other EU member States such as, at this time : Czech Republic, Estonia, Germany, Hungary, Lithuania and, Slovakia.
These agreements are meant to increase the exchange of tax related information, in particular the data necessary to detect missing trader fraud (so-called “carrousel”).
Trader fraud is, Indeed, one of the biggest reason to the EU VAT Gap (i.e. difference between expected VAT collection and actual VAT collection).
The data exchanged will be analysed by teams of VAT specialists set up by each participating country to undercover potential fraudulent operations.
Poland seems to have signed agreements with EU member States that appear to be closest. As the fight against VAT fraud is high on the agenda of all EU Member States, Poland might still want to sign agreements with countries beyong this immediade circle, and the latter might want to imitate Poland and sign their own agreements with other EU member States, in particular those with whom they are trading most.
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