Cyber VAT Fraud in the EU: A Criminological Analysis

Authors: Baratto G , Boriero D , Di Nicola A and Perrone G

DOI: 10.23880/oajcij-16000129

Volume 3, Issue 1

Abstract

This article is an anticipation of the criminological analysis of cyber VAT fraud in the European Union carried out in the framework of the project "EU CYBER VAT - Fighting cyber-VAT fraud in the EU: a comparative criminological and criminal law study", co-founded by the Union Anti-Fraud Program (EUAF) of the European Anti-Fraud Office (OLAF). In its empirical criminological perspective, the EU CYBER VAT project investigates behaviors in cyberspace that harm the EU's financial interests through VAT evasion and assesses how digitalization affects the commission of these crimes. More specifically, it investigates how the Internet creates new criminal opportunities for VAT fraud and influences the organization of these crimes, both in terms of criminal activities and the means of communication between network members. To achieve this goal, a script analysis was used to classify the criminal opportunities that the Internet provides to fraudsters; for each criminal activity considered, the script framework was used to determine how the Internet has an impact. Data was collected through case studies, focusing on court cases selected by national experts and relevant stakeholders (e.g. national and supranational authorities and bodies involved in the fight against VAT fraud). The analysis shows, among other things, that the Internet not only facilitates connections between sellers, intermediaries and buyers, but also speeds up transactions and promotes trade by enabling the easy sale of transferable intangible goods. More comprehensive results will be presented in the final report of the project and will contribute to the development of more effective counter measures.

Keywords: Cyber VAT Fraud; Digital Crime; Crime Script; European Union Financial Interests; Criminal Opportunities; Digitalization

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