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Two VAT gap indicators are analysed:
The VAT compliance gap is the estimated difference between potential VAT revenue under full compliance and the actual amount collected by tax authorities.
The VAT policy gap represents an estimate of the VAT revenues foregone due to the application of reduced VAT rates and exemptions, compared to a single, flat statutory VAT rate.
It is important to monitor the VAT gap indicators since:
- VAT contributes to both national and EU budgets.
- Estimates of the VAT compliance gap are sometimes used as an indicator for the effectiveness of VAT collection.
- Lost VAT revenues have a negative impact on government spending on public goods and services such as schools, hospitals, and transport.
- Studies on the scale of the VAT compliance gap help the Commission develop well-targeted measures to improve VAT compliance.
Variations between EU countries in the estimated VAT compliance gap can point to differences among Member States in terms of tax compliance, fraud, avoidance, bankruptcies, insolvencies, and the performance of tax administrations.
VAT gap in the EU – report 2024
The main results for the VAT compliance gap, the development of the VAT compliance gap between 2018 and 2022 in percentage points, and the actionable VAT policy gap can be viewed for each Member State in separate maps below.
VAT compliance gap
The VAT compliance gap is an estimate of overall non-compliance. It is a proxy for VAT revenues lost due to VAT fraud, evasion and avoidance, non-fraudulent bankruptcies and financial insolvencies, or miscalculations, among other drivers. The VAT compliance gap is also influenced by economic developments, one-off government support measures and the quality of national statistics. The VAT compliance gap in 2022 in the EU Member States is shown in the map below.
Development of VAT compliance gap (2018 vs 2022) in percentage points
The VAT compliance gap has decreased between 2018 and 2022 in most EU Member States. In the EU, the VAT compliance gap in 2022 amounted to 7.0% of the VAT Total Tax Liability (VTTL). Compared to 2018, the VAT compliance gap reduced by 4.2 percentage points. The development of the VAT compliance gap in EU Member States between 2018 and 2022 is shown in the map below.
Actionable VAT policy gap
The overall VAT policy gap is an estimate of the VAT revenues that are lost due to the application of reduced VAT rates and exemptions, compared to a single, standard statutory VAT rate. The actionable VAT policy gap refers to the portion of the VAT policy gap that can be influenced by Member States. Specifically, it relates to the foregone VAT revenues that can be attributed to reduced rates and exemptions that could potentially be discontinued or eliminated. The actionable VAT policy gaps in 2022 in the EU Member States are shown in the map below.
Detailed results per selected region
You can find the main results for all EU Member States and the European Union on this website. For more details on the results, methodology, and case studies please download the full report or the Executive Summary. The main results are summarised in the infographic.
In 2022, total VAT revenue amounted to €1 187 billion in the EU. The VAT compliance gap was estimated at €89 billion or 7.0% of the VAT total tax liability (VTTL), an increase of 0.4 percentage points compared to 2021. Between 2018 and 2022 the VAT compliance gap decreased from 11.2% to 7.0%. The development in between is displayed in the figure. The actionable VAT policy gap was 16.6% in 2022 - an increase of 0.7 pp compared to 2021. Between 2018 and 2022, the actionable VAT policy gap increased slightly from 16.3% to 16.6%. For context: if no product or service was exempt from VAT and no reduced VAT rates were used, the actionable VAT policy gap would be 0%.
In 2022, total VAT revenue was €35 543 million in Austria. The VAT compliance gap was estimated at €1 101 million or 3.0% of the VAT total tax liability (VTTL), an increase of 0.4 percentage points compared to 2021. With an EU VAT compliance gap of approximately 7.0%, Austria ranked 5th among the EU Member States. Between 2018 and 2022 the VAT compliance gap decreased from 8.2% to 3.0%. The development in between is displayed in the figure. The actionable VAT policy gap was 17.9% in 2022 - a decrease of 0.2 percentage points compared to 2021. Between 2018 and 2022, the actionable VAT policy gap increased from 16.8% to 17.9%. For context: if no product or service was exempt from VAT and no reduced VAT rates were used, the actionable VAT policy gap would be 0%.
In 2022, total VAT revenue was €36 031 million in Belgium. The VAT compliance gap was estimated at €4 469 million or 11.0% of the VAT total tax liability (VTTL), an increase of 4.0 percentage points compared to 2021. With an EU VAT compliance gap of approximately 7.0%, Belgium ranked 21st among the EU Member States. Between 2018 and 2022 the VAT compliance gap decreased from 12.2% to 11.0%. The development in between is displayed in the figure. The actionable VAT policy gap was 16.6% in 2022 - an increase of 1.5 percentage points compared to 2021. Between 2018 and 2022, the actionable VAT policy gap increased from 14.7% to 16.6%. For context: if no product or service was exempt from VAT and no reduced VAT rates were used, the actionable VAT policy gap would be 0%.
In 2022, total VAT revenue was €7 786 million in Bulgaria. The VAT compliance gap was estimated at €645 million or 7.7% of the VAT total tax liability (VTTL), an increase of 3.9 percentage points compared to 2021. With an EU VAT compliance gap of approximately 7.0%, Bulgaria ranked 15th among the EU Member States. Between 2018 and 2022 the VAT compliance gap decreased from 8.9% to 7.7%. The development in between is displayed in the figure. The actionable VAT policy gap was 5.5% in 2022 - an increase of 0.9 percentage points compared to 2021. Between 2018 and 2022, the actionable VAT policy gap increased from 3.0% to 5.5%. For context: if no product or service was exempt from VAT and no reduced VAT rates were used, the actionable VAT policy gap would be 0%. It should be noted that the estimates for Bulgaria are less reliable than those for other Member States due to outdated national accounts data, which are used to estimate the VAT base.
In 2022, total VAT revenue was €8 895 million in Croatia. The VAT compliance gap was estimated at €1 216 million or 12.0% of the VAT total tax liability (VTTL), an increase of 1.1 percentage points compared to 2021. With an EU VAT compliance gap of approximately 7.0%, Croatia ranked 22nd among the EU Member States. Between 2018 and 2022 the VAT compliance gap increased from 7.4% to 12.0%. The development in between is displayed in the figure. The actionable VAT policy gap was 17.9% in 2022 - an increase of 1.4 percentage points compared to 2021. Between 2018 and 2022, the actionable VAT policy gap increased from 11.5% to 17.9%. For context: if no product or service was exempt from VAT and no reduced VAT rates were used, the actionable VAT policy gap would be 0%.
In 2022, total VAT revenue was €2 706 million in Cyprus. The estimate suggests a decrease of approximately 6.8 percentage points in the VAT compliance gap compared to 2021. However, this results in a negative VAT compliance gap of -€18 million or -0.7% of the VAT total tax liability (VTTL). Negative VAT compliance gaps are not feasible in practical terms, but can occur in some cases due to statistical and measurement inaccuracies. Consequently, the VAT compliance gap estimates for 2022 in Cyprus should be viewed with caution. The reported EU VAT compliance gap of 7.0% was estimated excluding estimates for Cyprus. The actionable VAT policy gap in Cyprus was estimated at 21.9% in 2022 - an increase of 0.3 percentage points compared to 2021. Between 2018 and 2022, the actionable VAT policy gap decreased from 24.5% to 21.9%. For context: if no product or service was exempt from VAT and no reduced VAT rates were used, the actionable VAT policy gap would be 0%.
In 2022, total VAT revenue was €21 857 million in Czechia. The VAT compliance gap was estimated at €965 million or 4.2% of the VAT total tax liability (VTTL), a decrease of 2.4 percentage points compared to 2021. With an EU VAT compliance gap of approximately 7.0%, Czechia ranked 7th among the EU Member States. Between 2018 and 2022 the VAT compliance gap decreased from 13.4% to 4.2%. The development in between is displayed in the figure. The actionable VAT policy gap was 13.8% in 2022 - an increase of 0.7 percentage points compared to 2021. Between 2018 and 2022, the actionable VAT policy gap increased from 12.0% to 13.8%. For context: if no product or service was exempt from VAT and no reduced VAT rates were used, the actionable VAT policy gap would be 0%.
In 2022, total VAT revenue was €35 583 million in Denmark. The VAT compliance gap was estimated at €3 360 million or 8.6% of the VAT total tax liability (VTTL), an increase of 4.1 percentage points compared to 2021. With an EU VAT compliance gap of approximately 7.0%, Denmark ranked 18th among the EU Member States. Between 2018 and 2022 the VAT compliance gap decreased from 8.8% to 8.6%. The development in between is displayed in the figure. The actionable VAT policy gap was 2.8% in 2022 - a decrease of 0.4 percentage points compared to 2021. Between 2018 and 2022, the actionable VAT policy gap decreased from 4.0% to 2.8%. For context: if no product or service was exempt from VAT and no reduced VAT rates were used, the actionable VAT policy gap would be 0%.
In 2022, total VAT revenue was €3 309 million in Estonia. The VAT compliance gap was estimated at €152 million or 4.4% of the VAT total tax liability (VTTL), an increase of 2.9 percentage points compared to 2021. With an EU VAT compliance gap of approximately 7.0%, Estonia ranked 9th among the EU Member States. Between 2018 and 2022 the VAT compliance gap decreased from 5.6% to 4.4%. The development in between is displayed in the figure. The actionable VAT policy gap was 10.6% in 2022 - a decrease of 0.2 percentage points compared to 2021. Between 2018 and 2022, the actionable VAT policy gap remained steady at 10.6%. For context: if no product or service was exempt from VAT and no reduced VAT rates were used, the actionable VAT policy gap would be 0%.
In 2022, total VAT revenue was €25 061 million in Finland. The VAT compliance gap was estimated at €1 382 million or 5.2% of the VAT total tax liability (VTTL), an increase of 2.3 percentage points compared to 2021. With an EU VAT compliance gap of approximately 7.0%, Finland ranked 12th among the EU Member States. Between 2018 and 2022 the VAT compliance gap increased from 3.8% to 5.2%. The development in between is displayed in the figure. The actionable VAT policy gap was 14.3% in 2022 - an increase of 0.7 percentage points compared to 2021. Between 2018 and 2022, the actionable VAT policy gap decreased from 15.6% to 14.3%. For context: if no product or service was exempt from VAT and no reduced VAT rates were used, the actionable VAT policy gap would be 0%.
In 2022, total VAT revenue was €199 362 million in France. The VAT compliance gap was estimated at €12 784 million or 6.0% of the VAT total tax liability (VTTL), no change compared to 2021. With an EU VAT compliance gap of approximately 7.0%, France ranked 14th among the EU Member States. Between 2018 and 2022 the VAT compliance gap decreased from 7.8% to 6.0%. The development in between is displayed in the figure. The actionable VAT policy gap was 18.3% - an increase of 0.9 percentage points compared to 2021. Between 2018 and 2022, the actionable VAT policy gap decreased from 18.4% to 18.3%. For context: if no product or service was exempt from VAT and no reduced VAT rates were used, the actionable VAT policy gap would be 0%.
In 2022, total VAT revenue was €285 665 million in Germany. The VAT compliance gap was estimated at €12 892 million or 4.3% of the VAT total tax liability (VTTL), a decrease of 0.1 percentage points compared to 2021. With an EU VAT compliance gap of approximately 7.0%, Germany ranked 8th among the EU Member States. Between 2018 and 2022 the VAT compliance gap decreased from 9.0% to 4.3%. The development in between is displayed in the figure. The actionable VAT policy gap was 13.7% in 2022 - an increase of 0.5 percentage points compared to 2021. Between 2018 and 2022, the actionable VAT policy gap increased from 13.3% to 13.7%. For context: if no product or service was exempt from VAT and no reduced VAT rates were used, the actionable VAT policy gap would be 0%.
In 2022, total VAT revenue was €18 621 million in Greece. The VAT compliance gap was estimated at €2 959 million or 13.7% of the VAT total tax liability (VTTL), a decrease of 3.8 percentage points compared to 2021. With an EU VAT compliance gap of approximately 7.0%, Greece ranked 23rd among the EU Member States. Between 2018 and 2022 the VAT compliance gap decreased from 25.4% to 13.7%. The development in between is displayed in the figure. The actionable VAT policy gap was 28.4% in 2022 - an increase of 1.9 percentage points compared to 2021. Between 2018 and 2022, the actionable VAT policy gap increased from 21.5% to 28.4%. For context: if no product or service was exempt from VAT and no reduced VAT rates were used, the actionable VAT policy gap would be 0%.
In 2022, total VAT revenue was €17 100 million in Hungary. The VAT compliance gap was estimated at €405 million or 2.3% of the VAT total tax liability (VTTL), a decrease of 2.4 percentage points compared to 2021. With an EU VAT compliance gap of approximately 7.0%, Hungary ranked 4th among the EU Member States. Between 2018 and 2022 the VAT compliance gap decreased from 10.2% to 2.3%. The development in between is displayed in the figure. The actionable VAT policy gap was 15.9% in 2022 - a decrease of 0.8 percentage points compared to 2021. Between 2018 and 2022, the actionable VAT policy gap decreased from 17.0% to 15.9%. For context: if no product or service was exempt from VAT and no reduced VAT rates were used, the actionable VAT policy gap would be 0%.
In 2022, total VAT revenue was €18 936 million in Ireland. The VAT compliance gap was estimated at €302 million or 1.6% of the VAT total tax liability (VTTL). Considering the estimated VAT compliance gap of -1.1% in 2021, the compliance gap increased by 2.6 percentage points. However, this result should be treated with caution since negative VAT compliance gaps are not feasible in practical terms, but can occur in some cases due to statistical and measurement inaccuracies. With an EU VAT compliance gap of approximately 7.0%, Ireland ranked 3rd among the EU Member States. Between 2018 and 2022 the VAT compliance gap decreased from 6.7% to 1.6%. The development in between is displayed in the figure. The actionable VAT policy gap was 17.0% in 2022 - an increase of 1.1 percentage points compared to 2021. Between 2018 and 2022, the actionable VAT policy gap decreased from 18.2% to 17.0%. For context: if no product or service was exempt from VAT and no reduced VAT rates were used, the actionable VAT policy gap would be 0%.
In 2022, total VAT revenue was €138 533 million in Italy. The VAT compliance gap was estimated at €16 346 million or 10.6% of the VAT total tax liability (VTTL), a decrease of 0.3 percentage points compared to 2021. With an EU VAT compliance gap of approximately 7.0%, Italy ranked 20th among the EU Member States. Between 2018 and 2022 the VAT compliance gap decreased from 21.6% to 10.6%. The development in between is displayed in the figure. The actionable VAT policy gap was 26.1% in 2022 - an increase of 0.8 percentage points compared to 2021. Between 2018 and 2022, the actionable VAT policy gap increased from 24.6% to 26.1%. For context: if no product or service was exempt from VAT and no reduced VAT rates were used, the actionable VAT policy gap would be 0%.
In 2022, total VAT revenue was €3 639 million in Latvia. The VAT compliance gap was estimated at €193 million or 5.0% of the VAT total tax liability (VTTL), a decrease of 5.2 percentage points compared to 2021. With an EU VAT compliance gap of approximately 7.0%, Latvia ranked 11th among the EU Member States. Between 2018 and 2022 the VAT compliance gap decreased from 13.3% to 5.0%. The development in between is displayed in the figure. The actionable VAT policy gap was 11.5% in 2022 - a decrease of 1.0 percentage points compared to 2021. Between 2018 and 2022, the actionable VAT policy gap decreased from 15.5% to 11.5%. For context: if no product or service was exempt from VAT and no reduced VAT rates were used, the actionable VAT policy gap would be 0%.
In 2022, total VAT revenue was €5 644 million in Lithuania. The VAT compliance gap was estimated at €966 million or 14.6% of the VAT total tax liability (VTTL), a decrease of 1.1 percentage points compared to 2021. With an EU VAT compliance gap of approximately 7.0%, Lithuania ranked 24th among the EU Member States. Between 2018 and 2022 the VAT compliance gap decreased from 24.0% to 14.6%. The development in between is displayed in the figure. The actionable VAT policy gap was 10.5% in 2022 - an increase of 1.9 percentage points compared to 2021. Between 2018 and 2022, the actionable VAT policy gap decreased from 11.9% to 10.5%. For context: if no product or service was exempt from VAT and no reduced VAT rates were used, the actionable VAT policy gap would be 0%.
In 2022, total VAT revenue was €4 779 million in Luxembourg. The VAT compliance gap was estimated at €184 million or 3.7% of the VAT total tax liability (VTTL), a decrease of 3.7 percentage points compared to 2021. With an EU VAT compliance gap of approximately 7.0%, Luxembourg ranked 6th among the EU Member States. Between 2018 and 2022 the VAT compliance gap decreased from 8.1% to 3.7%. The development in between is displayed in the figure. The actionable VAT policy gap was 21.4% in 2022 - a decrease of 0.7 percentage points compared to 2021. Between 2018 and 2022, the actionable VAT policy gap increased slightly from 21.3% to 21.4%. For context: if no product or service was exempt from VAT and no reduced VAT rates were used, the actionable VAT policy gap would be 0%.
In 2022, total VAT revenue was €1 190 million in Malta. The VAT compliance gap was estimated at €415 million or 25.9% of the VAT total tax liability (VTTL), an increase of 0.4 percentage points compared to 2021. With an EU VAT compliance gap of approximately 7.0%, Malta ranked 26th among the EU Member States. Between 2018 and 2022 the VAT compliance gap increased from 23.4% to 25.9%. The development in between is displayed in the figure. The actionable VAT policy gap was 2.4% in 2022 - an increase of 1.7 percentage points compared to 2021. Between 2018 and 2022, the actionable VAT policy gap decreased from 10.6% to 2.4%. For context: if no product or service was exempt from VAT and no reduced VAT rates were used, the actionable VAT policy gap would be 0%.
In 2022, total VAT revenue was €69 928 million in the Netherlands. The VAT compliance gap was estimated at €5 991 million or 7.9% of the VAT total tax liability (VTTL), an increase of 2.6 percentage points compared to 2021. With an EU VAT compliance gap of approximately 7.0%, the Netherlands ranked 16th among the EU Member States. Between 2018 and 2022 the VAT compliance gap decreased from 10.8% to 7.9%. The development in between is displayed in the figure. The actionable VAT policy gap was 14.0% in 2022 - an increase of 3.1 percentage points compared to 2021. Between 2018 and 2022, the actionable VAT policy gap increased from 13.5% to 14.0%. For context: if no product or service was exempt from VAT and no reduced VAT rates were used, the actionable VAT policy gap would be 0%.
In 2022, total VAT revenue was €47 672 million in Poland. The VAT compliance gap was estimated at €4 374 million or 8.4% of the VAT total tax liability (VTTL), an increase of 2.8 percentage points compared to 2021. With an EU VAT compliance gap of approximately 7.0%, Poland ranked 17th among the EU Member States. Between 2018 and 2022 the VAT compliance gap decreased from 14.2% to 8.4%. The development in between is displayed in the figure. The actionable VAT policy gap was 33.5% in 2022 - an increase of 8.0 percentage points compared to 2021. Between 2018 and 2022, the actionable VAT policy gap increased from 25.4% to 33.5%. For context: if no product or service was exempt from VAT and no reduced VAT rates were used, the actionable VAT policy gap would be 0%.
In 2022, total VAT revenue was €22 711 million in Portugal. The VAT compliance gap was estimated at €300 million or 1.3% of the VAT total tax liability (VTTL), a decrease of 2.7 percentage points compared to 2021. With an EU VAT compliance gap of approximately 7.0%, Portugal ranked 2nd among the EU Member States. Between 2018 and 2022 the VAT compliance gap decreased from 9.5% to 1.3%. The development in between is displayed in the figure. The actionable VAT policy gap was 22.2% in 2022 - an increase of 2.1 percentage points compared to 2021. Between 2018 and 2022, the actionable VAT policy gap increased from 20.5% to 22.2%. For context: if no product or service was exempt from VAT and no reduced VAT rates were used, the actionable VAT policy gap would be 0%.
In 2022, total VAT revenue was €19 238 million in Romania. The VAT compliance gap was estimated at €8 479 million or 30.6% of the VAT total tax liability (VTTL), a decrease of 4.2 percentage points compared to 2021. With an EU VAT compliance gap of approximately 7.0%, Romania ranked 27th among the EU Member States. Between 2018 and 2022 the VAT compliance gap decreased from 32.8% to 30.6%. The development in between is displayed in the figure. The actionable VAT policy gap was 18.3% in 2022 - a decrease of 0.1 percentage points compared to 2021. Between 2018 and 2022, the actionable VAT policy gap increased from 16.3% to 18.3%. For context: if no product or service was exempt from VAT and no reduced VAT rates were used, the actionable VAT policy gap would be 0%.
In 2022, total VAT revenue was €8 559 million in Slovakia. The VAT compliance gap was estimated at €1 466 million or 14.6% of the VAT total tax liability (VTTL), an increase of 0.9 percentage points compared to 2021. With an EU VAT compliance gap of approximately 7.0%, Slovakia ranked 25th among the EU Member States. Between 2018 and 2022 the VAT compliance gap decreased from 16.3% to 14.6%. The development in between is displayed in the figure. The actionable VAT policy gap was 15.1% in 2022 - an increase of 0.7 percentage points compared to 2021. Between 2018 and 2022, the actionable VAT policy gap decreased from 16.3% to 15.1%. For context: if no product or service was exempt from VAT and no reduced VAT rates were used, the actionable VAT policy gap would be 0%.
In 2022, total VAT revenue was €4 673 million in Slovenia. The VAT compliance gap was estimated at €472 million or 9.2% of the VAT total tax liability (VTTL), an increase of 5.6 percentage points compared to 2021. With an EU VAT compliance gap of approximately 7.0%, Slovenia ranked 19th among the EU Member States. Between 2018 and 2022 the VAT compliance gap increased from 4.5% to 9.2%. The development in between is displayed in the figure. The actionable VAT policy gap was 21.1% in 2022 - an increase of 2.2 percentage points compared to 2021. Between 2018 and 2022, the actionable VAT policy gap increased from 19.5% to 21.1%. For context: if no product or service was exempt from VAT and no reduced VAT rates were used, the actionable VAT policy gap would be 0%.
In 2022, total VAT revenue was €92 344 million in Spain. The VAT compliance gap was estimated at €4 443 million or 4.6% of the VAT total tax liability (VTTL), an increase of 0.5 percentage points compared to 2021. With an EU VAT compliance gap of approximately 7.0%, Spain ranked 10th among the EU Member States. Between 2018 and 2022 the VAT compliance gap decreased from 6.5% to 4.6%. The development in between is displayed in the figure. The actionable VAT policy gap was 29.3% in 2022 - an increase of 2.3 percentage points compared to 2021. Between 2018 and 2022, the actionable VAT policy gap increased from 27.9% to 29.3%. For context: if no product or service was exempt from VAT and no reduced VAT rates were used, the actionable VAT policy gap would be 0%.
In 2022, total VAT revenue was €51 954 million in Sweden. The VAT compliance gap was estimated at €3 039 million or 5.5% of the VAT total tax liability (VTTL), an increase of 0.2 percentage points compared to 2021. With an EU VAT compliance gap of approximately 7.0%, Sweden ranked 13th among the EU Member States. Between 2018 and 2022 the VAT compliance gap increased from 2.5% to 5.5%. The development in between is displayed in the figure. The actionable VAT policy gap was 10.7% in 2022 – a slight decrease of 0.1 percentage points compared to 2021. Between 2018 and 2022, the actionable VAT policy gap decreased from 12.4% to 10.7%. For context: if no product or service was exempt from VAT and no reduced VAT rates were used, the actionable VAT policy gap would be 0%.
Reports 2009 - 2024
VAT compliance gap due to MTIC fraud
Missing trader intra-Community fraud (MTIC fraud) is a prominent form of VAT non-compliance. This type of fraud exploits VAT-free trade of goods and services between EU Member States. Fraudsters acquire goods and services VAT-free from another Member State, supply them to other businesses and charge VAT, before disappearing without remitting the VAT to the tax authorities (hence the term ‘missing trader’). We refer to VAT revenues lost due to this type of fraud as the ‘MTIC gap’.
The European Commission concluded a project to develop a methodology for estimating the MTIC gap. The first phase of the project assessed various methodological approaches to identify the best framework for recurrently estimating VAT revenue lost to MTIC fraud. Two methodologies were identified for further testing: an approach based on Intrastat data and classification data mining techniques, and an approach leveraging VIES data on intra-Community supplies and similar reporting obligations on intra-Community acquisitions. To gather data on intra-Community transactions, the Commission collaborates with Tax Administrations of EU Member States participating in the TADEUS project. Details on the processing and protection of individual-level data are provided in the privacy statement linked below. For more details on Phase I of the study, please download the full report or the Executive Summary.
The second phase of the project estimated the MTIC gap at EU level using Intrastat mirror-trade statistics. The results showed that the estimated annual MTIC gap ranged from €12.5 billion to €32.8 billion between 2010 and 2023. This represents an average annual VAT revenue loss of 1.2-3.1% of actual VAT revenue. Over the period, the MTIC gap increased slightly in nominal terms, driven by the growth of the tax base and trade volume. Despite this, the stability of the MTIC gap estimates over time suggests that factors other than MTIC fraud contribute to fluctuations in the VAT compliance gap. For more information about the detailed results, please download the full report or Executive Summary.
PRIVACY STATEMENT Ι 22 August 2024 Privacy statement: VIES and VIES-like data to estimate the MTIC gap |