Italy’s “no question asked” appeal to suspected tax dodgers has resulted in a haul of nearly €15 billion for the 2015 tax coffers.
The national tax authority said it recovered €14.9 billion, up from €14.2 in 2014. The amount has more than tripled in the last ten years.
But there is a long way to go. Italy's government last year said its estimated losses due to tax evasion were €90 billion a year. The employers organisation Confindustria claimed the true figure was more like €122 billion.
While the chasm has yet to be bridged, the country’s anti-evasion tactics have yielded some positive results.
Last year 315,000 residents received letters urging them to correct any “errors or oversights” they might have made in their annual returns. They were told they would be liable only for reduced penalties.
From the half who responded, €250 million resulted.
Half of all missing tax is due to the failure to pay VAT while a third is from non-payment of payroll taxes.
The government has pledged to reduce the country’s sovereign debt, but at a new peak of 132.6% of annual output, this will be no mean feat.
This is the second highest in the euro area as a proportion of GDP. Only Greece can claim a higher percentage.
