 The recovered resources represent around 1% of the Spanish Gross Domestic Product.

 The Secretary of State for Finance and Budgets, Carlos Ocaña, and the Director General of the Tax Agency, Juan Manuel López-Carbajo, have today presented the results of activities to prevent and fight fraud in 2010, which generated income for the public coffers of 10.043 billion euros, 23.7% up on 2009 and around 1% of GDP (Gross Domestic Product). In total, thanks to the effective planning of the prevention and fight against fraud, 45.583 billion euros have been recovered since 2005.

 

In 2010, direct collection from control activities, including the reduction for refunds, came to 8.499 million, up 21.3% on 2009. Collections through voluntary adjustment returns attributable to the induction effect rose by 38.9%, to stand at 1.544 billion euros.

FOCUS ON THE MOST SERIOUS FRAUD

 

The long-term planning and emphasis on the more complex forms and largest sums as part of fraud investigations are the main reason for the increase in revenue from the prevention and fight against fraud in recent years.  In 2010, the average debt per inspected taxpayer rose to 250,888 euros, 43.9% up on 2009. Average debt has progressively increased since 2005, when it stood at 116,000 euros.

 

As a result of the planning and focus on the most important forms of fraud, it should also be noted that this year, the main growth was thanks to results from control actions carried out by the Central Large Taxpayers Office, created in 2006 and responsible for managing the relationship with taxpayers whose turnover is in excess of 100 million euros.

 

In total, 938 tax offences were sent to the state prosecutor in 2010 and the net amount defrauds as a whole came to 696 million euros, 11.2% down on the previous year.

 

Investigations on the use of large sums of cash with high-denomination banknotes have resulted in settlements totalling 1.114 billion euros through to 2010. Of this amount, late tax returns accounted for 425.56 million euros, debt identified for 541.03 million euros and 147.9 million euros corresponded to reported criminal offences.

 

In 2010, 5,809 taxpayers in the real estate sector were subject to inspection, 16.5% down on 2009. However, the debt discovered rose by 19%, to 1.735 billion euros.

GUARANTEES FOR THE COLLECTION OF TAX DEBT

 

Actions to ensure the collection of debts grew by 8.40% in 2010 to a total of 2017 actions. These actions are coordinated between the inspection and collection departments with a view to avoiding cases of asset relocation by fraudsters. In 2010, these actions have seen the total amount raised by these actions increase by 20.1% compared to 2009, coming to 1.492 billion euros.

GUIDELINES OF THE 2011 CONTROL PLAN

 

In 2011, the basic action criteria for control tasks will focus on tax fraud verification and investigation activities, the fight against fraud in the collection phase and control over assigned taxes.

 

The bulk of the action will be carried out in sectors in which there is a greater perception of fraud, as in the case of professionals or taxpayers with evidence of wealth that does not correspond to the amount of income declared, and the fight against the underground economy in coordination with the Labour Inspectorate and the Social Security Institute.

 

The most complex and important forms of fraud will once again be subject to special attention and tax engineering and abusive tax planning will be subject to control: fiduciary structures and corporate frameworks created for evading the payment of taxes, the creation of intra-Group financial liabilities to generate financial expenses to reduce or eliminate tax bases obtained and that must be taxed in Spain, as well as the abusive use of transfer prices especially in three broad areas:

• corporate restructuring,

• the valuation of the intangible assets,

• the treatment of losses generated by the economic crisis in general.

 

The control activities launched in previous years will continue, such as those related to VAT fraud schemes in intra-Community operations, checks on Corporation Tax groups and corporate groups for the purposes of VAT, on the real estate sector and others, aligned to the current importance of these activities and the estimated risks.  Furthermore, control of foreign trade and excise duty will focus on the customs value of imported goods, on ensuring the security of the logistics chain and controlling the application of exemptions or rebates, particularly duty on hydrocarbon imports and the excise duty on Certain Modes of Transport.

For the development of all of these actions, the Tax Agency will strengthen the information gathering processes and improve the selection tools and working methods.