Polina Gusyatnikova, senior managing partner at PG Partners law firm, told Izvestia that fraudulent businessmen use several schemes for illegal enrichment.

According to her, the most common scheme is the return of VAT on exports, when all outgoing VAT is refundable, since there is no input.

“In such schemes, fraudsters, for example, declare one product, and another goes abroad, or the transaction takes place between front companies, and VAT is refunded from a non-existent product,” the lawyer said.

Malefactors also undertake fraudulent actions by means of return of preferential VAT. For example, if a company sells grain, then VAT on its sale is 10%, and transportation costs are subject to VAT at a rate of 20%.

“That is, the outgoing VAT will be more than the incoming VAT, and 10% of the difference is refundable. This scheme is similar to the previous one in that the goods may not have been produced, the deal is fictitious,” Gusyatnikova said.

She also pointed out that in fictitious transactions, contracts are signed between front organizations, but today it is becoming more and more difficult to turn such fraud schemes, since all accounts are checked in a special program when submitting a VAT return.

bbabo.Net