Ahmian

The principle of VAT neutrality is that the burden should be borne not by the business, which is the intermediary consumer, but by the final consumer. The taxation of multi-shelf businesses with regard to VAT presents enormous difficulties, given the diversity of products sold in terms of taxation. The tax authorities have therefore introduced two methods (method A and method B) for determining the tax base for these businesses. These methods are also recommended to companies. However, companies do not apply them properly. This is why the administration carries out on-the-spot VAT audits to regularise the tax declared and detect any fraud so as to improve profitability. We have therefore suggested that the DGI invest more in cash register technology in order to improve its on-the-spot checks in businesses with multiple departments.