The Tax Department will begin its work as soon as it receives the findings from the Anti-Corruption Authority.

• The Commissioner cannot go back further than 12 years to investigate tax evasion cases.

• Invoices and payment receipts will be requested from everyone who provided services to investors.

The publication of the voluminous findings of the Independent Anti-Corruption Authority regarding the "Mafia State" case has opened an unprecedented and procedurally complex chapter, the course of which, according to prominent legal experts, will be long.

The cost of the investigation, as announced, has reached €1.3 million. The taxpaying citizen is the one who will be called upon to shoulder the expense and would not want any discounts for anyone.

“Justice must be left undisturbed to perform its work and rule: According to the findings of the Independent Anti-Corruption Authority, the results of the independent investigators' inquiry that will follow, and the evaluation of the criminal offenses, if and when they are substantiated,” noted prominent legal experts speaking to Brief.

One of the chapters that will be investigated and holds significant weight is what is mandated by the recent law passed by Parliament, which provides the Tax Department with the capability to move forward and put the tax files of all officials under investigation under the microscope.

However, information gathered by Brief indicates that the Tax Commissioner has the unalienable right to examine the tax files of all those whose names are included in the findings, given that the references fall under the jurisdiction of the Department.

The dusting off of the tax files of all affected legal and natural persons will begin immediately after the Anti-Corruption Authority communicates the part of the findings that clearly touches upon the responsibilities of Sotiris Markides, the Tax Commissioner.

The entire process will be conducted strictly within a framework of full confidentiality and secrecy, and no leaks regarding either the assets or bank accounts of the individuals and companies under investigation are permitted.

According to the legislation, the Tax Department will carry out a retrospective audit extending back up to 12 years.

It is not absolute whether the tax files of all officials whose names are included in the findings will be examined.

The findings, as evident from an initial reading, do not point to everyone for potential tax evasion.

It is clear that the Tax Department will include in the "dusting off" of tax files those legal and natural persons whom the findings point to for potential "tax evasion".

This will become clear through a long process that will involve the submission of evidence by all involved parties. Namely, invoices, receipts of collections, and whatever else the competent Department may require.

Nevertheless, the authorities are relying on the silent power of financial and corporate tracks, which function as undeniable evidence and are considered perhaps even more powerful than a testimony.

As banking sources state, the basic economic equation is based on comparing declared income with the actual wealth profile of those audited.

When significant discrepancies are identified, such as the purchase of high-value real estate, the accumulation of high bank deposits, or the making of investments that are not justified by declared incomes, the authorities ask the involved parties to present adequate explanations.

What will be investigated deeply, among other things, is the origin of any "disputed funds" and whether the necessary legal and written documentation exists to justify each movement of revenue and its reporting to the competent services for tax purposes.

It is noted that these practices do not constitute an illegality on their own, but they are elements that trigger further and in-depth auditing.

Upon completion of the investigation and evaluation of all data, the Tax Commissioner will be able to get answers to three questions:

1. Is there a full and sufficient justification of the examined amounts through what was presented?

2. Is unjustified enrichment detected, as the funds are not covered by legal documents?

3. Is there evidence suggesting a possible criminal origin of the money or fictitious transactions?

In this case, the file will be forwarded to the competent Law Enforcement Authorities for further criminal investigation.

According to the prescribed penalties, the Laundering of Proceeds from Illegal Activities (Money Laundering) carries a prison sentence of up to 14 years and/or a financial fine reaching €500,000; Trading in Influence & Abuse of Power (Felony) carries imprisonment penalties reaching up to 7 years; and abuse of power and neglect of duty carry prison sentences of up to 2 years.

It is noted that the presumption of innocence applies to all involved persons until the prescribed procedures are completed and justice pronounces its verdict.

Source: Brief