Greece has implemented a new measure to combat tax evasion by encouraging citizens to report such activities through the "Appodixi" mobile application. The initiative, introduced by the Greek Independent Authority for Public Revenue (AADE), offers cash rewards ranging from €100 to €3,000 for individuals anonymously reporting instances of tax evasion via the app.
Key points about the program include:
- Application Availability: The updated version of the "Appodixi" application is now accessible on both Google Play and Apple Store.
- User Engagement: Over 230,000 citizens have already downloaded the app, indicating a significant level of public engagement.
- Anonymous Reporting: Individuals must submit anonymous complaints through the app to be eligible for a monetary reward. The reported cases will be subject to audit.
- Audit and Fines: If a tax audit is conducted following an anonymous complaint, and fines are imposed for violation or falsification of tax records, the complainant becomes eligible for a financial reward.
- Reward Calculation: The financial reward is calculated as ten times the transaction value of the reported retail item, including Value Added Tax (VAT). The reward will not be less than €100 or exceed €3,000.
- Exemption from Taxation: The monetary reward is exempt from any tax, withholding, levy, or contribution, making it a non-taxable benefit for the recipient.
- International Comparison: The governor of the Hellenic Tax Authority, Giorgos Pitsilis, highlighted that financial incentives for reporting tax evasion are not unique to Greece and provided examples from the UK and the US where similar reward systems have been in place.
- Incentives in Other Countries: In the UK in 2022-23, £509,000 in reward bonuses was granted to those reporting tax fraud. Similarly, the IRS in the US paid $38.7 million to 132 taxpayers who disclosed instances of tax evasion.
- App Enhancements: The Hellenic Revenue Service has released a new version of the "Appodixi" application, recognizing QR codes from upgraded Fiscal Electronic Monitors (FEMs) and including the date and time of the document's issue.
This initiative reflects an ongoing trend where governments leverage technology and citizen participation to enhance tax compliance and combat financial misconduct.