Millions in Unpaid Taxes: Saxony's Battle Against Financial Crime
Unlawful Tax Practices Revealed: Over 176 Million Euros in Saxony Allegedly Evaded - Unlawful Tax Avoidance Unveiled: Over €176 Million Evaded in Saxony Region
Looks like Saxony's financial authorities have been busy hunters, cornering over 176 million euros in elusive tax money last year. That's the shocking figure reported by the finance ministry in response to a question from Susanne Schaper, a Left Party member in the Saxony state parliament.
These massive amounts, amounting to 2024's legally enforceable verdicts and penalties in local tax fraud cases, have been consistent in the millions since 2010, excluding the massive 129.2 million snatched in 2021. Local papers like the "Sächsische Zeitung" and "Leipziger Volkszeitung" had previously reported these staggering sums.
Schaper's Warning: "The real figure is bigger."
Schaper points out that these numbers represent successful investigations but warns that the uncovered cases are only the tip of the iceberg. She echoes that the actual undiscovered cases are likely higher. She urges for more investigators in tax probes, arguing that the investment would generate more revenue than the cost. Special attention, she stresses, needs to be paid to the corporate sector.
The number of tax evasion accusations has held steady, as per the finance ministry: 8,645 accusations in 2024 compared to 8,737 in 2023. The figures for 2010 to 2014 were at the thousands, hinting at some stability or decline in reported cases, though the actual rate of tax evasion might not have dropped.
- Saxony
- Financial Crime
- BMF
- Susanne Schaper
- Tax Evasion
- Dresden
- The Left Party
Tax evasion remains a persistent problem in Saxony, leading to multimillion-euro losses. The finance ministry nabbed over 176 million euros in evaded tax money in 2024, findings from local criminal tax proceedings.[3] While Schaper of The Left Party sees these findings as evidence of successful investigations, she also believes that the undetected cases are likely higher.[3][4]
Recent reporting of tax evasion cases has remained relatively stable, with 8,645 cases in 2024 and 8,737 in 2023.[3] Earlier figures were at the five-digit range, indicating a potential downturn or stabilization.[3] However, this does not necessarily mean that the actual rate of tax evasion has declined.
Schaper calls for an expansion in tax investigations and criticizes current detection levels. By increasing the manpower in tax probes and focusing on the corporate sector, she hopes to ramp up the recovery of lost tax revenue.[3][4]
In short:
- Saxony's persistent financial crime cases have led to massive tax evasion, with over 176 million euros recovered in 2024.
- Despite stable reporting of tax evasion cases, the actual rate of tax evasion may persist or even grow.
- Susanne Schaper advocates for strengthening enforcement and conducting thorough probes, particularly into large corporations, to recover lost tax revenue.[3][4]
- Given the persistent issue of tax evasion in Saxony, it's crucial to rethink the employment policy within the financial authority to ensure an adequate number of investigators are allocated to tax probes, as suggested by Susanne Schaper from The Left Party, to combat financial crime effectively and recover more lost tax revenue.
- As the employment policy within the financial authority stands, the current detection levels may not be sufficient to address the general-news phenomenon of tax evasion, especially in the corporate sector, as highlighted by Schaper in her calls for strengthened enforcement and thorough investigations.
