New 2026 Tax System Cracks Down on Fraud With Real-Time Monitoring
A new tax oversight system will launch in 2026 to combat fraud and improve transparency. The changes, set to begin on January 1, will focus on high-risk taxpayers and introduce stricter controls on electronic invoicing. Authorities aim to reduce tax evasion and streamline VAT management through real-time monitoring.
The system will target a small group of high-risk taxpayers, primarily small businesses failing to follow the EN 16931 e-invoice format. These firms, often involved in suspicious transactions, will face blocking of their e-invoices unless they correct errors or obtain recipient consent for alternative formats. Tax authorities will compare e-invoices to detect fictitious deals and issue notices to suspect taxpayers.
The reforms will take full effect on January 1, 2026, with automated oversight focusing on high-risk taxpayers. Businesses must adapt to stricter e-invoicing rules or face penalties. Authorities expect the changes to reduce the shadow economy and improve tax collection efficiency.
