Greece reports record VAT revenues driven by digital audits

Digital tax audits and the use of Artificial Intelligence are driving record VAT revenues in Greece. By utilizing the myDATA electronic bookkeeping system and automated cross-referencing, tax authorities are effectively closing loopholes and reducing tax evasion.

During the first half of the year, VAT collections exceeded 14.5 billion euros, surpassing the budgetary target of 13.6 billion euros by approximately 880 million euros. This represents a significant increase compared to the 12.8 billion euros collected during the same period last year. The rise in revenue is also attributed to higher nominal turnover resulting from inflation in various goods and services.

This revenue growth is expected to expand fiscal space, potentially allowing the primary surplus to exceed the updated forecast of 3.2% of GDP and potentially reaching above 4% under certain conditions. The tax administration now uses automated alerts to flag discrepancies between declared amounts and electronic records, targeting businesses with unusual turnover fluctuations or inconsistencies with industry standards.