Telcos in countries with Goods & Services Tax should be wary of new versions of tax scams invented in countries with Value Added Tax.
Colt entered a legal battle after refusing to pay USD5mn of invoices to an Italian VoIP carrier that appeared to be engaging in VAT fraud.
UK authorities barred a businessman from being a company director for 12 years after his firm contracted to trade GBP43mn (USD52mn) of airtime with a fraudulent enterprise.
Transit traffic for sales tax fraud has moved from the UK to Spain and Italy because of changes made by the UK tax authority.
A tax fraud which cost Italian telcos 300mn euros illustrates why we must guard against organized crime – and the taxman.