Italy confronts large‑scale tax evasion and a €1.3 trillion unpaid tax credit backlog

In Matera, the Guardia di Finanza celebrated its 252nd anniversary by highlighting recent enforcement results: 20 tax evaders and 80 undeclared workers were identified, 65 people were charged with tax offences, assets worth €2.9 million were seized and more than €110,000 in fraudulent tax credits were frozen.

A separate analysis by the research centre Unimpresa shows that Italy’s tax collection system holds a historic “warehouse” of €1.331 trillion in assessed but uncollected credits – about 59 % of GDP. Only a small fraction, roughly €93 billion, is realistically recoverable, while the majority remains tied up in bankruptcies, defunct firms or dormant accounts. The study notes that a handful of large debtors (about 3 % of taxpayers) account for 36 % of the total value, underscoring deep structural issues in fiscal enforcement and collection.