October brings a “haircut” in fines for taxpayers who “confess” to tax evasion without contesting the debt resulting from the tax audit carried out by the Independent Public Revenue Authority (AADE).
The new measure, which comes into effect on October 1, provides that the reduction will vary between 25% and 50%, but will only affect those who admit their debt and do not resort to administrative courts to cancel the tax audit and the tax process imposed by the Federal Revenue Service.
The aim of the new regulation, which will be activated next month, is to immediately collect taxes and fines, but at the same time to relieve the courts of possible appeals against the State.
It should be noted that the reduction of up to 50% of fines, in accordance with the new extrajudicial liquidation procedure, will be made under two conditions, namely if the debtor does not contest the debt arising after the tax audit, and that the amount charged to them by the Tax Office will be immediately accepted.
In this context, the new “package” of fine reductions “offered” by the Tax Office provides for the following:
– the fine is reduced by up to 50% if the main tax debt is accepted and the respective declaration is submitted within 10 days after the notification is sent by the auditors.
– the fine is reduced by up to 40% if the main tax debt is accepted after the tax notification, but before the appeal to the Dispute Resolution Directorate (DDR).
– the fine is reduced by up to 30% if the main tax debt is accepted before an appeal is filed with the competent administrative court.
– the fine is reduced by up to 25% if the main tax debt is accepted before the hearing before the competent court.
In any case, after the fine is cut, 25% of the total amount of the debt must be paid within three days after the acceptance of the respective request that will be made electronically through an online platform, the activation of which is scheduled for October 1, 2024. The remaining debt must be paid in up to 12 monthly installments, through a permanent regime of the Ministry of Finance.
