NEWS

Newly formed and partially recognised state of Kosovo, starting April 1st 2015 (no joke) has announced a monetary prizes to all citizens who bring their fiscal receipts to Tax Authority. This measure is also mandated by the law as an incentive and motivation for taking fiscal receipts. Rather than using lottery to draw winners, this young institution has decided to award everybody who is being compliant.

The formula states as follows:

Every month we can find one new jurisdiction who is challenged to combat shadow economy with the use of innovative tech tools. Some will say nothing new here, it’s been happening for over 30 years, and that is true. However in the past this technology was too robust and too complex to install without strong enforcement imposed on taxpayers who are required to meet compliance and obtain certified devices in accordance with whatever procedure has been set, usually involving few licensed suppliers. Modernization brought changes and made certified compliance mechanisms user friendly in a spirit of telecom operators who already have great market coverage.

Offerings are now becoming more appealing to a business model suitable for operator’s relationship with merchants. Here are few examples:

The Czech government submitted for comments a draft law on electronic registration of sales as new modern variant of cash registers.

The new obligation should touch up 600,000 merchants, restaurant operators, hoteliers, craftsmen and providers of other services.

The law should begin to apply January 2016 and will be introduced in phases.

Since January 2016, the electronic records should apply to companies that do business in catering and accommodation services. From April retail and wholesale companies will be included in the system. Since July, revenues should also report individuals who operate a restaurant, hotel or store…

A new plan to tackle countries chronicle tax evasion problem involves wiring non-professional inspectors on casual contracts of no longer then two months who would be paid by the hour. These individuals would carry on themselves special sound and video equipment to capture evidence on tax evasion while posing as a regular customers. The data gathered would be used by the authorities immediately to issue penalties and sanctions.

The news that thousands of casual mystery shoppers will be everywhere has spread out across the business community and provoked opposition to argue that such action is ridiculous. “If they expect to combat tax evasion this way, they are not only dangerous, since they do not grasp the legal ramifications of the measure, or its effectiveness, but are also ridiculous and expose the country to ridicule,” New Democracy spokesman Costas Karagounis said.