Law enforcement officers have uncovered a large-scale tax evasion scheme within a chain of second-hand stores, which could have resulted in the state budget losing over 38 million UAH in VAT. This was reported by the Office of the Prosecutor General, according to UNN.
Under the procedural guidance of prosecutors from the Office of the Prosecutor General, a scheme for large-scale tax evasion has been exposed within a chain of second-hand stores
According to the investigation, officials of the company that effectively controlled the chain of used clothing and footwear stores artificially fragmented the business to reduce the tax burden.
To achieve this, sales were recorded not on behalf of the main company, but through controlled Individual Entrepreneurs (FOPs) on the simplified taxation system. Through them, they sold not only used clothing and footwear, but also household goods, household chemicals, and hygiene products.
Formally, the stores and financial-economic operations were registered to Individual Entrepreneurs who nominally acted as owners or users of the retail outlets. At the same time, the actual management of the chain, organization of turnover, and control over the movement of funds, according to the investigation, were carried out by employees of the main business.
According to the findings of an analytical study by the tax authority, during 2023–2025, the budget could have lost over 38 million UAH due to the underreporting of VAT tax liabilities.
Priority investigative actions are ongoing. All circumstances of the offense and the individuals involved in the scheme are being identified.