Bratislava – The current administration has transformed Slovakia into a haven for tax evaders and a hub for customs and value-added tax (VAT) fraud within the European Union (EU). This was underscored by the European Public Prosecutor’s Office (EPPO) findings shared by Chief European Prosecutor Laura Kövesi during her visit to Slovakia on November 11, according to TASR.
Opposition SaS vice-chairman Marián Viskupič remarked that Slovaks learned from Kövesi that Slovakia has become a corridor for money laundering. He asserted that Prime Minister Robert Fico (Smer-SD) is converting the nation into a laundering hub for European funds. “Every third case the EPPO is probing concerning VAT fraud is associated with Slovakia. It is shocking that the chief European prosecutor must come to Slovakia to reveal that extensive tax fraud is occurring here,” Viskupič declared.
He criticized the Financial Administration (FS) for either being unaware of these issues or indifferent, questioning whether it is complicit in shielding and supporting tax fraudsters.
EPPO is investigating frauds related to Slovakia totaling 900 million euros
The estimated damages linked to cases under EPPO investigation concerning Slovakia amount to 900 million euros, with around half a billion euros specifically tied to VAT fraud. Viskupič noted that recovering this money could eliminate the necessity for introducing a transaction tax or raising health contributions, VAT on food items, or insurance taxes.
Opposition PS chairman Michal Šimečka expressed that the EPPO’s figures are concerning. “Slovakia is not a large nation within the EU, and when a Slovak company is implicated in one-third of all fraud cases under investigation, it is truly disheartening and a testament to 15 years of Robert Fico’s leadership. This government and the ruling majority share the blame, as evidenced by the EPPO stating that the pro-mafia amendments to the Criminal Code have visibly contributed to this situation,” he stated.
He suggested that simplifying the tax system and potentially lowering direct taxes while reinstating criminal liability for tax evasion might provide a resolution.
According to opposition MP Veronika Remišová (Hnutie Slovensko – Za ľudí), the chief European prosecutor’s statements further indicate the deterioration of justice in Slovakia. “She asserts that Slovakia has become a key center for VAT fraud in the EU, with up to one-third of the investigated cases pertaining to VAT and customs fraud linked to Slovakia. Our nation has turned into a primary transit point for illicit money flows. This situation arises from the dismantling of elite police and prosecution units that have been combating fraud and organized crime in Slovakia for years, along with the drastic amendments to the Criminal Code aimed solely at protecting criminal interests,” Remišová remarked.
Justice Minister Boris Susko (Smer-SD) met with an EPPO delegation led by Chief European Prosecutor Laura Kövesi on Tuesday. He asserted that one of the government’s objectives is a systematic fight against tax fraud and VAT-related criminal activities, in collaboration with European institutions. (November 12)
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