How will the Greek tax administration use online data to audit businesses?

The Greek tax administration (AADE) intends to launch sweeping audits of businesses based on the average turnover per sector and what self-employed professionals and businesses have declared on the myDATA electronic platform. According to information, AADE now has in its hands qualitative data from those declared on the electronic platform and, at the same time, average figures per sector. Based on these data, companies that have a significant distance from the average, either above or below, will qualify for inspection.

An important element that can now be exported with the push of a button is collaboration between businesses. At any time, the auditor knows all the cooperating companies, and in this way, if there are suspicions of tax evasion or even cartel practices, the audit launches automatically.

In essence, the control part has become automatic, and most of the information is derived from the data generated by the online platforms.

The notification on the new tax audit system that the Greek tax administration (AADE) plans to implement was published on December 30, 2023.

The new system will use the data that businesses and self-employed professionals have reported on the myDATA electronic platform, which is a tool that allows them to submit their invoices and other tax-related documents online. The system will also use the average turnover per sector, which is the average amount of money that businesses in the same industry make in a given period.

It will compare the data reported by each business with the average turnover per sector and identify those that have a significant difference, either higher or lower. Those businesses will be selected for inspection by the tax auditors, who will check their compliance with the tax laws and regulations.

The system will also monitor the collaborations between businesses, which are the transactions and agreements that they have with each other. This novelty will make the tax audit process more efficient, accurate, and transparent, as it will use the data generated by the online platforms and lower the need for manual intervention. However, it also means that different businesses, including those in the retail sector, in Greece will have to be more careful and diligent in reporting their data and following tax regulations.