Financial Crime World

Austrian Tax Investigation Department Recovers €63.18 Million in Back Taxes from 210 Financial Fraud Cases in 2023

The Austrian Tax Investigation Department, a specialized unit under the Anti-Fraud Office, announced a successful crackdown on financial fraud cases in 2023. The team of 186 dedicated officers closed 210 investigations, recovering an impressive €48.46 million in unpaid taxes and imposing penalties totaling up to €100 million.

Key Findings

  • 210 investigations closed
  • €48.46 million in unpaid taxes recouped
  • Penalties totaling up to €100 million imposed

Sectors Targeted

The probes reached across various industries, with a notable focus on:

  1. Construction sector
  2. National and international Value-Added Tax (VAT) fraud schemes
  3. Transport sector

Construction Sector

Undeclared invoices and unrecorded work hours were prevalent in the construction sector.

Support from Finance Minister

Finance Minister Magnus Brunner commended the division’s efforts, emphasizing the importance of protecting honest taxpayers and ensuring fair competition.

“We are determined to shield honest taxpayers and level the playing field for law-abiding entrepreneurs.”

  • Finance Minister Magnus Brunner

Operations and Results

House Searches, Account Openings, and Arrests

The department conducted:

  • 157 house searches
  • 255 account openings
  • 4 arrests

Additional Taxes and VAT Audits

Tax audits and special VAT audits yielded an additional €14.72 million.

Data Amassed

The team’s technological prowess was evidenced in the 65.66 terabytes of data obtained from advanced IT searches.

Challenges and Future Strategies

Digitalization and Internationalization

Alfred Hacker, Chair of the Anti-Fraud Office, acknowledged the challenges posed by digitalization and internationalization, emphasizing the importance of evolving investigative strategies and strengthening international cooperation.

“We must continue to adapt our investigative strategies to tackle increasingly complex schemes.”

  • Alfred Hacker, Chair of the Anti-Fraud Office

Complexity of Fraud Cases

Christian Ackerler, Head of Tax Investigation, underlined the complexity of the uncovered fraud cases, which extended across multiple industries and exploited diverse tactics. The success of these probes was attributed to the collaborative efforts between judicial authorities, state institutions, and the department.

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