Tax inspectors at the Independent Public Revenue Authority (AADE) have busted an extensive tax evasion ring, which allegedly set up a sophisticated network of companies to avoid paying taxes, and reaped huge financial benefits. At the center of the case is a foreign woman, who allegedly managed one of the main companies in the ring.
Although she was listed as “homeless” on her tax returns, she lived in a luxurious 280-square-meter villa in the northern suburbs, with a swimming pool, according to the authorities. So far, the investigation has revealed tax evasion exceeding €17.9 million, while audits are continuing as it is estimated that the real size of the fraud is even greater.
The revelation of the scheme resulted from the combined use of data collected by the AADE auditors through on-site tax audits, the service’s digital platforms, such as myDATA, the business register, as well as data concerning corporate participations, the administration and management of businesses.
From the analysis of the data, it emerged that behind dozens of businesses there were essentially the same people, who appeared successively as managers, general partners or limited partners. When a company ceased its operations or was driven into bankruptcy, a new business with similar characteristics was almost immediately created, so that the same activity could continue without collecting debts from the state.
