Weak anti‑corruption efforts and new and higher taxes hurt tax collection

The coalition’s weakening of anti‑corruption efforts and its new and higher taxes resulted in less effective tax collection. The central bank NBS reports that VAT intake rose by €900m last year, of which €230m came from rate hikes. The government expected the hikes to generate €750m, with the basic rate rising to 23%. The effective VAT rate fell by two points in a year to 16% in 3Q25. The NBS recommends simplifying the tax code and reducing the basic VAT rate.

(dennikN.sk)