Spain takes a tougher stand on tax evaders

12/02/2013 00:00

Madrid/Palma.The Spanish authorities have taken a tougher stand on tax dodgers.
According to a government decision, surprise financial audits will be made at restaurants and shops in a move that's believed to help boost revenues to the state budget and deal more effectively with the budget deficit.

Earlier, Spain's taxation authorities basically relied on account examination, but as of last year they are focused on the close inspection of facilities by drastically stepping up the number of surprise visits.

According to expert estimates, the so-called shadow economy of Spain, which is currently living through an acute crisis, accounts for up to 25% of the GDP.