Two new scientific articles have recently been published in the Open Access Journal of Criminology Investigation & Justice, both focusing on the issue of VAT fraud facilitated by digital tools. These contributions are part of the research project “EU CYBER VAT – Fighting cyber-VAT fraud in the EU: a comparative criminological and criminal law study”, co-funded by the Union Anti-Fraud Program (EUAF) of the European Anti-Fraud Office (OLAF).
The first article presents preliminary findings from the criminological analysis that will be included in the project’s final report. Adopting an empirical criminological perspective, the EU CYBER VAT project explores criminal behaviours in cyberspace that harm the EU’s financial interests through VAT evasion, examining how digitalisation affects the commission of such offences. Specifically, the study investigates how the Internet creates new criminal opportunities for VAT fraud and influences the organisation of these crimes, including the methods of communication between members of criminal networks. To this end, a script analysis was used to classify the online opportunities available to fraudsters and to assess the impact of the Internet on each phase of criminal activity. The data were gathered through case studies, based on court rulings selected by national experts and relevant stakeholders (e.g. national and supranational authorities involved in the fight against VAT fraud). The findings show, among other things, that the Internet not only facilitates connections between sellers, intermediaries and buyers, but also accelerates transactions and promotes trade in transferable intangible goods. Full results will be included in the final report and will contribute to the development of more effective countermeasures.
The second article anticipates the forthcoming comparative legal analysis of the EU’s response to cyber VAT fraud. VAT fraud has long been a major challenge to the economic stability of both individual Member States and the European Union as a whole. In recent years, the convergence between tax fraud and cybercrime has given rise to a new and complex phenomenon: cyber VAT fraud. Despite its increasing prevalence, this phenomenon remains underexplored and a comprehensive and effective legal and operational framework has yet to be developed.
