Decree Law no. 124 of 26 October 2019 on “Urgent provisions in tax matters and for time-critical needs” (so-called Tax Decree) has expanded the Decalogue of prerequisite crimes for the administrative liability of entities. In this case, “fraudulent declaration through the use of invoices or other documents for non-existent operations” (alias the offence of false invoicing) has been categorised as such an offence. This is the first type of tax offence specific to a company. This inclusion finds its source, at EU level, in Directive 1371/2019 (PIF Directive) on combating fraud affecting the EU’s interests. If notified of this type of offence, and the legal representative convicted, the entity will be fined up to five hundred shares. The value of a share ranges from €258 to €1745. Translated into economic terms, the applicable penalty may amount to a total of €774,500. The fine will be imposed automatically, unless the entity proves that it has taken all necessary measures to prevent the offence from occurring. In consideration of the above, should the Decree be converted into law, it will be appropriate to update the adopted Models and, also considering this type of crime, to implement appropriate procedures and controls and carry out specific training sessions within the company.
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