VAT Fraud Investigation on Used Mobile Phones – European Prosecutors Probe Six Countries

• The European Public Prosecutor’s Office (EPPO) is conducting investigations in six countries regarding VAT fraud in the used mobile phone sector.
• The investigation, code-named “Concertina,” is led by the European Public Prosecutor’s Office in Munich, Germany, and extends to Bulgaria, Germany, Italy, Malta, the Netherlands, and Slovenia.
• Large amounts of documents, electronic devices, and evidence have been seized during the investigations, along with €31,500 in cash and cryptocurrencies worth approximately €40,000.
• Several bank accounts have been frozen, with at least €88,000 seized.
• Companies in different EU member states are suspected of intentionally applying reduced VAT rates on the sale of used mobile phones imported from the United States and other third countries to illegally increase their profits.
• The suspected fraud also allowed the sale of mobile phones at lower market prices, causing unfair competition.
• Four suspects collaborated to deceive the Bulgarian, German, and Slovenian tax authorities regarding the VAT owed for imported used smartphones, creating a chain of companies involved in seemingly legitimate intra-community goods deliveries.
• The companies involved in the alleged fraud are based in Bulgaria, Germany, and Slovenia and are managed by the four individuals under investigation.

Source: taxheaven.gr

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.

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