France

Social benefits paid to non-EU accounts estimated at 150 million euros over 5 years – RT in French

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The French Minister of Public Accounts announced on November 27 that social fraud in France represented “several billion euros”. “150 million euros over five years” were even paid into accounts hosted outside the EU.

French social benefits paid into non-European bank accounts – which will cease in 2023 as part of the fight against fraud – are valued at 150 million euros over five years, revealed on November 27 the Minister of Public Accounts Gabriel Attal.

He also announced in the columns of Parisian that he will present “at the beginning of 2023 a specific plan on tax and social fraud”.

“As of next year, we will be able to automatically withdraw the VAT number of a fraudulent company. And we are making progress on the site of electronic invoicing, which will be implemented from July 2024 for large companies and in the following years for the others”, indicates the Minister. “INSEE assesses VAT fraud at around 20 billion euros per year”, further details Gabriel Attal. He also judges that if “there has been progress” on social fraud, “this still represents “several billion euros”.

“There are sometimes doubts about the real existence of the beneficiary”, notes Gabriel Attal

The Minister recalls that from July 1, 2023, allowances (excluding pensions) can no longer be paid into non-European bank accounts. And therefore gives for the first time an estimate of these “payments, for which there are sometimes doubts about the real existence of the beneficiary”, which “represent 150 million euros over five years”.

The benefits covered are in particular the ASPA (solidarity allowance for the elderly), family benefits, the RSA or even the supplementary disability allowance.

Non-European accounts will be affected, i.e. those outside the SEPA zone which includes the member countries of the European Union, the member countries of the European Economic Area, as well as Switzerland, Andorra , Monaco, San Marino and the Vatican.

“The question of fraud in social benefits which are paid to people who do not reside in our territory regularly feeds a certain number of studies, articles, and rightly scandalizes our fellow citizens”, had launched the minister in the month of October, considering that “to defraud is simply to steal”.

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