No improvement in VAT tax gap in 2020
The VAT tax gap, the difference between ideal and actual VAT intake, fell slightly to 16.6% in 2020 from 16.9% in 2019. If Slovakia improves to the EU average of 10%, our VAT revenue would rise by €500m annually. The new government is preparing e-faktúra, which should improve VAT collection from 2022. The increased use of bank cards to make payments will also improve VAT collection.
