VAT gap in Europe. Edition 2025
The report provides an updated analysis of the VAT compliance gap and the VAT policy gap across EU Member States, as well as selected EU candidate and potential candidate countries, covering trends over the period 2019-2023 and, for the first time, including selected EU candidate and potential candidate countries. It examines the discrepancy between the theoretical VAT Total Tax Liability (VTTL) and actual VAT revenues, offering insights into inefficiencies in tax compliance and revenue losses driven by policy choices.
