The Greek Tax Authority is conducting extensive audits on businesses filing suspicious tax returns, focusing particularly on cases with disproportionately high VAT refund claims. This strategy aims to drastically reduce tax evasion and secure additional revenue of at least 2 billion euros on a permanent basis.
Targeted audits on businesses with questionable returns
Tax authorities are focusing their efforts on companies showing exceptionally high claims against the state or filing zero tax returns despite proven business activity. The Tax Authority is conducting systematic cross-checks of all 2024 returns while extending controls to the current year.
The VAT gap problem and solutions
A key objective of the tax administration remains addressing the chronic “VAT gap” problem, which represents lost revenue from tax evasion and irregularities, reaching billions of euros annually. During the first seven months of 2025, VAT revenues showed significant increases compared to 2024, mainly due to the tourism sector recovery and mandatory connection of POS systems with cash registers.
Strengthening internal controls and fighting corruption
Alongside taxpayer audits, the Tax Authority is activating its Internal Audit Department to detect irregularities by both citizens and employees, following corruption incidents revealed last year. All tax refunds are under scrutiny, including VAT, income tax, and Special Consumption Tax refunds.
Accelerating procedures for legitimate businesses
The tax administration seeks to achieve dual objectives: ensuring legality and preventing abusive acquisition of tax compliance certificates by non-beneficiaries. For businesses on the “Golden List” – taxpayers with impeccable records and no violation indicators – refunds will be processed faster with immediate credit of amounts.
2025 audit planning
For the current year, 4,200 refund audits have been scheduled, with total refunds reaching 7.5 billion euros, showing an increase of 1 billion euros compared to 2024.
Special attention is given to cases of “missing traders” – companies that abruptly cease operations, leaving significant debts to the state.
Instructions to audit services include:
- Detecting concealed taxable material exceeding 500 million euros.
- Faster detection of missing traders, limiting lost revenue per case to 280,000 euros.
- Conducting at least 155 investigations into intra-Community VAT transaction fraud.
- Deactivating 115 tax identification numbers of individuals and legal entities.
- Identifying taxpayers who filed zero returns in 2024 despite having activity.
