IN THE FIRST SEVEN MONTHS OF 2009 Tax fraud worth 28.5 million Euros in Braşov

Tax inspectors in Bra ov have found unpaid taxes of 119,158 million lei (almost 28.5 million Euros), after investigating 1,751 taxpayers. Inspectors found a tax gap of 85.197 million lei, which accrued 33.046 million lei in penalties and interest. Apart from that, inspectors levied fines worth 914,658 lei. In the month of July alone, tax inspectors uncovered unpaid taxes worth 18.732 million lei, which reduced tax deficit by 10.231 million lei.

The inspections were part of the quarterly and monthly schedules produced by the National Tax Administration Agency. These are aimed at preventing and fighting tax evasion in order to ensure the budget has the resources it needs to ensure fair competition, punish companies that infringe on tax and accounting regulations, increasing the number of taxpayers that voluntarily file their income statements and pay their taxes, as well as taking the needed steps to eliminate deficiencies in the system as well as entering legality.

Mariana Julea, deputy managing director of General Department of Public Finances Braşov, says that 75% of the tax inspections done this year targeted VAT reimbursements. "Tax inspectors denied VAT reimbursements worth 5.264 million lei, by reducing VAT receivable for expenses which are not deductible for tax purposes", Julea said.

Irregularities found include failure to record all issued invoices, incomplete or inadequate bookkeeping, the exceeding of the cap for protocol expenses, erroneous transcription of accounting data into the income statements, or VAT statements, recording frivolous expenses with travel, accommodations and purchases unrelated to the company"s operations, etc.