Tax prosecutors allege tax expert aided Szombathely trader in large VAT fraud scheme
Prosecutors say a tax consultant helped a Szombathely businessman and nine accomplices avoid VAT on grain and meat sales, causing a substantial state loss.
A prosecutor’s statement details accusations against a Szombathely merchant, his sibling and eight co-defendants for orchestrating a VAT-evasion operation from January 2021 to March 2024. The scheme involved importing soy-bean and chicken-meat from EU markets and reselling the products to Hungarian firms and sole traders, while fabricating invoice chains to conceal the tax liability. The indictment claims the companies were only nominally registered, with the Szombathely trader effectively controlling them.
A tax specialist was hired to ensure the counterfeit billing process functioned without interruption. The authorities say the fraud inflicted a significant financial deficit on the state treasury. The case was announced by the Bács-Kiskun Megyei Főügyészség after the primary suspect was detained in 2024.
Why it matters
The case highlights how sophisticated tax-evasion networks can drain public finances and underscores the role of expert accomplices.
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