Collection of tax debt in businesses that went bankrupt has been quite inefficient, assessed the State Audit Institution, DRI, adding that a substantial amount of revenues has already been lost.
According to the DRI, the state loses not only the tax revenues but a percentage of GDP which would be generated if only a bankrupted taxpayer had settled a tax liability.
The State Audit Institution reviewed the documents from 2015, 2016 and 2017, on the basis of a random case analysis taken from the Commercial Court. The report says the main reason for taxation inefficiency of companies is the untimely initiation of bankruptcy proceedings.
According to data of the Tax Administration, on 31 December 2017 the tax debt amounted to EUR 95.4 million and the total tax collection in companies with the completed bankruptcy proceedings amounted to EUR 9.3 million during the period 2013 to 2017.
