VAT fraud scheme unveiled in construction

TIRANA, Jan. 22 – Tax authorities say they have uncovered a value added tax fraud scheme which has caused the state budget 170 million lek in damage. The General Tax Directorate says the scheme involved a Kosovo citizen who was registered with the Kukes tax office in northeastern Albania and supplied fictitious goods and services to construction and transport companies all over Albania.
Through the use of tax documentation Kosovo citizen Ismet Syla, the administrator of Dielli – I.I.B carried out fake supply of goods and services worth 845 million, which was never declared with tax authorities, causing a damage of 170 million lek only in VAT payments. Tax authorities say they have identified other taxpayers benefitting from the fraud scheme.
Last summer, tax authorities also unveiled a VAT fraud scheme involving scrap collection companies. Tax authorities said the companies collaborated with each other using fraud schemes of crediting VAT.