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Κυριακή, 21 Ιανουαρίου 2018 22:13

Athens broaches problem of shell companies opened in Bulgaria by Greek firms fleeing hefty taxes

Expanded cooperation between Greek and Bulgarian tax authorities, especially in terms of information exchange and combating tax evasion, dominated a meeting in Athens on Friday between the head of Greece's independent Public Revenues Authority, Giorgos Pitsilis, and his Bulgarian counterpart, Galya Dimitrova.

Expanded cooperation between Greek and Bulgarian tax authorities, especially in terms of information exchange and combating tax evasion, dominated a meeting in Athens on Friday between the head of Greece's independent Public Revenues Authority, Giorgos Pitsilis, and his Bulgarian counterpart, Galya Dimitrova.

The main objective by the Greek side is to stem a growing phenomenon of Greece-based businesses using a national transfer of their registered headquarters to neighboring Bulgaria, in order to take advantage of the latter's lower corporate tax rates.

Along these lines, both side discussed the effectiveness of the current double tax avoidance treaty between the two neighbors and the possibility of expanding legal tools against tax evasion.

The two EU partners also discussed the problem of bootleg trading of various goods, especially products under the EU's customs procedure 4200.