Within this year the tax administration has pledged to repay all arrears with VAT refund. According to the report of the Ministry of Finance for Economic Reforms by the end of June 2021, the VAT left unreimbursed will be zeroed, which according to the latest tax data amounts to 9.7 billion or 79.6 million euros.
"This stock is projected to become 0 within the first 6 months of 2021, reflecting the fact that all entities will be reimbursed within the legal deadlines," the report said.
This level has decreased from 2019, as the stock was ALL 11.2 billion.
Meanwhile, according to the data, 75% of this obligation belongs to the investor of TAP, while the rest belongs to two other large companies, which in agreement with the administration are being paid in installments.
Apart from the COVID-19 pandemic, VAT refunds have continued, albeit at lower rates than in 2019. Specifically, according to tax data in 2020, ALL 16.5 billion have been provided for refunds, from ALL 23.5 billion that were refunded in 2019.
In the last quarter of last year alone, a total of ALL 4.64 billion was reimbursed, the highest value of the year, where about ALL 1.68 billion of the reimbursed value went to the payment of installments for large taxpayers in the list of taxpayers with installments.
During the last year, the VAT refund was positive for small taxpayers, whose claims were approved without allowing arrears to be created.
According to the report for the period October-December 2020, 393 claims worth about 6.22 billion ALL were registered for reimbursement, of which 285 claims worth about 3.81 billion ALL were received and 108 claims worth about 2.41 billion ALL are not accepted due to non-compliance with legal criteria.