Cross-border VAT frauds and measures to tackle them

The present article considers theoretical analysis of VAT in international trade and examines current problems in the cross-border VAT fraud and main strategies to tackle them. The analysis of the theoretical background of VAT in cross-border trade in goods allowed us to determine both some main features related to the cross-border VAT fraud (organized crime, smuggling, money laundering and estimation problems) and measures to tackle them. We defined, based on the evaluation of current strategies aiming to reduce the possibilities of cross-border VAT fraud, the three main groups of such measures, notably, economic measures, institutional measures and procedural and technical measures