POS: At 407,000 interfaces with cash registers and ERP systems

POS interfaces with cash registers and ERP systems (special accounting programs used by many businesses to issue receipts) reached 407,000, as the Ministry of National Economy and Finance states in its announcement. Especially in the last 4 months over 150,000 additional connections were made, mainly related to the interface of POS with ERP systems, businesses replacing old cash register and/or POS systems with new, seasonal businesses etc.

Thus, the compliance rate of the obliged companies now exceeds a total of 96%. It is noted that the milestone set by the Recovery Fund for the seamless financing of the country – which was 400,000 interconnections – was reached earlier than the deadline, while for those businesses that have not yet been interconnected controls are being intensified, starting with those with the highest turnovers.

The completion of this major project is already yielding significant and measurable results in the effort to combat tax evasion. It is indicative that in the first half of the year VAT revenues increased by 10.3%, which is due on the one hand to the growth of the economy and on the other hand to the initiatives to combat tax evasion such as the interconnection of POS with cash registers and ERP systems.

It is also characteristic that during the first 8 months of the year – and while the interconnection project had not been fully completed- there is a significant increase in payments through the use of electronic means.

Specifically observed:

• in focus an increase of 16% (from 4.8 billion to 5.5 billion euros)
• in taxis an increase of 177% (from 18 million to 50 million euros)
• to doctors by 20.1% (from 227 million to 273 million euros)
• in hair salons and personal care services by 13.8% (from 326 million to 371 million euros)
• in gyms and sports activities by 34.8% (from 56 million to 75 million euros)
• in hotels by 8.8% (from 3.6 billion euros to 3.9 billion euros)

This increase is due on the one hand to the development and on the other to the expansion of electronic means of payment but also to the implementation of measures to deal with tax evasion such as the interconnection of cash registers with POS which ensures additional revenue for the state.

What remains to be done with POS

4% of the obliged enterprises remain to interconnect their systems. Of this percentage, 2,000 cases have been recorded in which there is a technical issue of mismatch between the POS and the ERP accounting systems they have. For these cases a leeway of a few weeks has been given in order to find a technical solution or for the companies to replace their equipment. The specific businesses have already received personalized information from AADE and the competent services are in contact with them.

Controls are intensified by businesses with large turnovers

For the rest of the businesses, checks by levels of AADE are to be intensified within the next few days. It is noted that priority during the audits is given to companies with the largest turnovers. Businesses found not to have interconnected their systems face fines.

Specifically, a fine is provided for:

• 10,000 euros, as long as they follow a simple accounting system
• 20,000 euros, as long as they follow a double-entry bookkeeping system

These fines are halved for businesses established in settlements with a population of up to 500 inhabitants and on islands with a population of up to 3,100 inhabitants (except for tourist ones). In the case of a recurrence within five years, the fines are doubled and for each subsequent violation they are tripled.