Did you know that the VAT Gap in Slovakia back in 2014 was equal to €2.14 billion in absolute terms, making Slovakia at the time of implementation the fourth worst in VAT collection in all of EU? The estimate for tax-loss in the retail sector alone was over €1 billion. Our solution Receipt was introduced to provide a controlled oversight of all cash registers in Slovakia by simply creating and storing digital copies of every receipt in the central database of the tax revenue office.

…  and what is the result?

The receipt has reduced the tax gap in Slovakia from 41% to 26% and brought in more than €3.7 billion into the treasury so far.

… so how does it work?

All information from receipts (items, their values, date and time of receipt issued, which cash register issued the receipt, amount of VAT, and more) issued in Slovakia is stored in the central database. This allows the Tax Revenue office to have immediate access to an overview of all transactions and receipts of any selected business. During the onsite inspections, the live transmission of data is absolutely crucial for immediate proof of illegal incidence. At the same time system provides an automatic fraud detection mechanism based on specific algorithms.

Business owner issues a cash receipt directly in the mobile or web app. Data from all issued receipts are recorded not only in the Allexis Receipt, but also live transmitted to Tax Administration.

Tax Administration has an immediate access to all data from transaction processed via Allexis Receipt. This enables the authorities to quickly react to any suspicious behavior or reported fraud.

The free app for customers allows them to validate all receipts and at the same time act as automatic reporters of tax frauds to the Tax Administration.

Can you imagine the effect of implementing receipt solution on multinational level? Not only it is a perfect first step to tax collection digitalisation, but it’s also a great 1st step to eliminate administrative burden. Why do we say that? Imagine the same thing is applied to invoices. But that’s the story for another time. Coming soon.