A good way to crack down on the black economy?
#1
A good way to crack down on the black economy?
http://www.bbc.com/news/world-europe-26176468
I understand the scheme is going ahead now with Audi cars being given away each month.
Portuguese taxpayers are to get a chance to win luxury cars as part of the latest attempt by the authorities to crack down on the black economy, which has ballooned in recent years as incomes have fallen, taxes have risen and austerity measures have been implemented as a result of the Eurozone bailout.
#2
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Joined: May 2013
Posts: 1,176
Re: A good way to crack down on the black economy?
http://www.bbc.com/news/world-europe-26176468
I understand the scheme is going ahead now with Audi cars being given away each month.
I understand the scheme is going ahead now with Audi cars being given away each month.
Afterall, it will make little difference to the guy doing the job. He/she either charges VAT or doesn´t.
So unless the customer wants to pay an extra 23%, why would he insist on a receipt?
#3
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Re: A good way to crack down on the black economy?
Otherwise, no sense in paying 20% more so that another ghost airport can be built.
#4
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Joined: Oct 2012
Posts: 26,724
Re: A good way to crack down on the black economy?
It is suggested that any winner will have to pay some of the taxes associated with a new vehicle. So its not as good as it seems.
Looking forward to queuing in the supermarket when a host of little old ladies submit their tax details for their daily milk and bread purchase.
Looking forward to queuing in the supermarket when a host of little old ladies submit their tax details for their daily milk and bread purchase.
#5
Re: A good way to crack down on the black economy?
Does a leopard change it's spots ? Is the Pope a Catholic ?
Much the same chance of changing the Spanish culture which is now more firmly entrenched than ever and just one of the reasons why the economic and especially unemployment situation still remains virtually unchanged.
Rajoy introduced various measures to counteract the black market a while ago.
Unfortunately apart from creating bank staff a hell of a lot of unnecessary extra work, it's done nothing at all to change the black economy, other than to drive it even further underground than ever it was before, in order to stay even further out of the reach of the taxmen.
Much the same chance of changing the Spanish culture which is now more firmly entrenched than ever and just one of the reasons why the economic and especially unemployment situation still remains virtually unchanged.
Rajoy introduced various measures to counteract the black market a while ago.
Unfortunately apart from creating bank staff a hell of a lot of unnecessary extra work, it's done nothing at all to change the black economy, other than to drive it even further underground than ever it was before, in order to stay even further out of the reach of the taxmen.
#6
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Joined: Apr 2009
Posts: 7,749
Re: A good way to crack down on the black economy?
Does a leopard change it's spots ? Is the Pope a Catholic ?
Much the same chance of changing the Spanish culture which is now more firmly entrenched than ever and just one of the reasons why the economic and especially unemployment situation still remains virtually unchanged.
Rajoy introduced various measures to counteract the black market a while ago.
Unfortunately apart from creating bank staff a hell of a lot of unnecessary extra work, it's done nothing at all to change the black economy, other than to drive it even further underground than ever it was before, in order to stay even further out of the reach of the taxmen.
Much the same chance of changing the Spanish culture which is now more firmly entrenched than ever and just one of the reasons why the economic and especially unemployment situation still remains virtually unchanged.
Rajoy introduced various measures to counteract the black market a while ago.
Unfortunately apart from creating bank staff a hell of a lot of unnecessary extra work, it's done nothing at all to change the black economy, other than to drive it even further underground than ever it was before, in order to stay even further out of the reach of the taxmen.
The black economy is a symptom of an inflexible labour market, too few jobs and insufficient benefits
It is the poorest people in Spain who work on the black market - because they have no (or avery little) choice.
#7
Re: A good way to crack down on the black economy?
Much like excessive corruption it is and has been ingrained into the Spanish culture longer than either you or I could ever remember, regardless of economic circumstances or methods of govt.
#8
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Re: A good way to crack down on the black economy?
On both, it depends on who you compare Spain to whether it does particularly well or badly. It does better than Italy but worse than Germany for example
#9
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Posts: 3,081
Re: A good way to crack down on the black economy?
I think the scheme whereby people can claim up to 250 euros a year back on the vat on spends in bars, restaurants, hairdressers will be a good money spinner for some.
The people that root through the rubbish bins, could collect the receipts from all those establishments that customers have thrown away or left behind.
that is if the owner of the establishment does not get in there first.
They can then sell them onto 'conocidos' for let's say 50 or 75 euros so that the 'customer' gets the maximum 250 euros back each year.
A few decent hairdressers in the neighbourhood would be ideal, and it would be less smelly, dirty and downright horrible than rooting through rubbish containers.
I can see a whole new bussiness opportunity arising.
The people that root through the rubbish bins, could collect the receipts from all those establishments that customers have thrown away or left behind.
that is if the owner of the establishment does not get in there first.
They can then sell them onto 'conocidos' for let's say 50 or 75 euros so that the 'customer' gets the maximum 250 euros back each year.
A few decent hairdressers in the neighbourhood would be ideal, and it would be less smelly, dirty and downright horrible than rooting through rubbish containers.
I can see a whole new bussiness opportunity arising.
Last edited by me me; Mar 26th 2014 at 3:06 pm.
#10
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Re: A good way to crack down on the black economy?
Spain is worse on corruption than a few countries...40 to be exact. Comes behind a many of the Caribbean Islands, Puerto Rico etc.
#11
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Joined: Oct 2012
Posts: 26,724
Re: A good way to crack down on the black economy?
I think the scheme whereby people can claim up to 250 euros a year back on the vat on spends in bars, restaurants, hairdressers will be a good money spinner for some.
The people that root through the rubbish bins, could collect the receipts from all those establishments that customers have thrown away or left behind.
that is if the owner of the establishment does not get in there first.
They can then sell them onto 'conocidos' for let's say 50 or 75 euros so that the 'customer' gets the maximum 250 euros back each yea
A few decent hairdressers in the neighbourhood would be ideal, and it would be less smelly, dirty and downright horrible than rooting through rubbish containers.
I can see a whole new bussiness opportunity arising.
The people that root through the rubbish bins, could collect the receipts from all those establishments that customers have thrown away or left behind.
that is if the owner of the establishment does not get in there first.
They can then sell them onto 'conocidos' for let's say 50 or 75 euros so that the 'customer' gets the maximum 250 euros back each yea
A few decent hairdressers in the neighbourhood would be ideal, and it would be less smelly, dirty and downright horrible than rooting through rubbish containers.
I can see a whole new bussiness opportunity arising.
Collecting receipts is pointless as they have to have the purchasers tax number on them to count . It is this number that counts as far as winning the car etc
#12
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Posts: 3,081
Re: A good way to crack down on the black economy?
And who is not to say that I am not living in Portugal at this very moment.
#13
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Re: A good way to crack down on the black economy?
To qualify you have to give the business you tax number at the time of purchase.
This is then sent via a terminal at the business to the financas.
Any legal business in Portugal must have one of these terminals.
To claim you have to prove your identity, ie your Fiscal card or record with your NIE number on it. The one that is on the receipts.
It is not a case of just picking up pieces of paper in rubbsh bins.
This is then sent via a terminal at the business to the financas.
Any legal business in Portugal must have one of these terminals.
To claim you have to prove your identity, ie your Fiscal card or record with your NIE number on it. The one that is on the receipts.
It is not a case of just picking up pieces of paper in rubbsh bins.