E-commerce firm paperwork ‘not credible’, say tax inspectors

The State Revenue Service (VID), over the course of inspections of e-commerce companies conducted between January 2013 and April 2015, found almost all of them in violation of one administrative rule or another, VID told national information agency LETA Sunday.

The most frequently encountered non-observances of rules involved incorrectly assessed income taxes from work wages, violations in accounting for work times, not ensuring adequate follow-through of economic activity and accounting registers.

Altogether 41,000 euros worth of administrative fines have been applied against various internet-shop companies doing business online.

During the time period between the two years, VID conducted 21 tax audits on retail firms which primarily do business by mail or over the internet. Altogether 3.6 million euros of payments to the state treasury were declared.

Between January 1, 2014 and May 15 of 2015 VID conducted evaluations of accuracy on 143 taxpayers declaring their primary economic activity as mail-order or internet-based retail trade. In 44 cases the submitted information did not correspond to low wage levels inside the companies and therefore have been classified by VID as “not credible.”

It was concluded that 15 taxpayers had failed to register their web-based offerings of goods and services. According to VID, there are currently 615 websites registered by taxpayers as structural entities conducting business online.

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Economy
Economy