Explosive increases in transactions were recorded after the mandatory interconnection of cash registers with POS
The complete and mandatory interconnection of cash registers with POS, implemented in the context of the digital upgrading of tax administration, served as a powerful tool for revealing the actual extent of economic activity in important market sectors.
In essence, according to RES-EIA, it brought to light a “treasure” of transactions that, although existing for years, remained undeclared and unbearable by the audit authorities. According to the findings of a recent survey by the Independent Public Revenue Authority (AADE), spectacular increases in electronic payments were recorded in a variety of sectors of the economy as a result of digital tracking transactions through the POS-Tamens interconnection. The image that emerges captures a clear and promising message: technology and transparency are the modern allies in the battle to increase state revenue and enhance tax compliance.
Explosive increases in electronic payments
Characteristic is the computer programming sector, where POS transactions increased by an impressive 2,459%. Specifically, from € 4.8 million in 2023, they were launched to 128 million euros in 2024.
Also significant was the change in the sector of the rooms – Reliefs, Cultural or Sports Events – where electronic payments increased from € 3.5 million to 20 million euros.
Impressive increases were also recorded in traditional service providers. In taxis, POS transactions increased by 221%, in transport by 57%, 39%in the focus and in the hotel industry by 24%.
The common conclusion, both the analysis of the AADE and the general sense of society and the economy, is that the rapid spread of electronic payments, coupled with the complete interconnection of cash registers with POS, is now an integral tool for expanding taxation and taxation.
According to official figures, the increase in public revenue for 2024 amounted to € 2.66 billion, an essential fiscal surplus. This development offers the government the space necessary for the implementation of permanent tax relief and to promote social and development interventions. The announcements are expected to be made by Prime Minister Kyriakos Mitsotakis as part of the forthcoming Thessaloniki International Exhibition.
Increasing VAT and Cash Substitution – The Branches that stood out
AADE’s analysis shows that the greatest contribution to revenue increase came from value added tax (VAT). VAT certified revenue increased from € 16.38 billion in 2023 to € 19.05 billion in 2024.
Electronic payments increased by a total of 7.5 billion euros, without including transactions through the IRIS interbank system. Of this total, € 5.79 billion is a replacement of transactions that were previously made exclusively in cash. This tendency resulted in the disclosure of a large number of undeclared transactions and, by extension, the reinforcement of both VAT revenue and the income tax receipts for the next financial year.
The contribution of the tertiary sector was decisive: from € 8.3 billion of additional electronic payments, 7.5 billion comes from services. Indicatively, in sectors with the largest increases in confirmed VAT amounts include:
- Focus services with an increase of 37.9%,
- Transfers with 32.9%,
- Tourist accommodation with 19.7%,
- and car workshops with 19.4%.
Tax Compliance Model
The study notes that at least one-third of the total increase in VAT revenue during the period 2022-2024 is directly attributed to the improvement of tax compliance. Technological infrastructure, data intersections and uninterrupted flow of information between cash and POS have created a more transparent and just tax environment.
These new opportunities not only strengthen public funds, but allow the government to design and implement meaningful reforms with social sign: with targeted reliefs, with support for the most vulnerable but also incentives to develop entrepreneurship and investment.
