Do you run your business through multiple companies? You may risk having to pay a large VAT surcharge

Many business owners divide their business operations among several smaller companies in order to avoid mandatory VAT registration.

▪️ But is this procedure legal?
▪️ Where is the line between tax optimization and abuse of the law?
▪️ What are the actual risks and penalties that business owners face if they proceed in this manner?

In this episode of the Highgate Talks podcast, Peter Varga and Tomáš Demo discuss one of the most common situations they encounter in tax consulting. They explain why business owners use multiple companies, what models the tax authorities most often identify, what new rules group VAT registration brings, and what risks and penalties business owners face when “juggling” multiple smaller companies.

In this podcast, you’ll learn:
✔️ why entrepreneurs divide their business activities among multiple companies,
✔️ what the most common methods of circumventing VAT registration are,
✔️ what constitutes abuse of rights in the tax sphere,
✔️ what new rules apply to group VAT registration,
✔️ what penalties the tax administrator may impose,
✔️ when such conduct may constitute a criminal offense.

Moderator: Tomáš Demo, Highgate Group
Speaker: Peter Varga, Highgate Group