Shadow economy makes up 15 percent of Czech GDP

The shadow economy makes up 15 percent of the Czech GDP, according to data released by the Czech Statistics Office. Transactions to the tune of 614 billion crowns annually go untaxed. In addition to large-scale VAT evasion this concerns undeclared income from smaller transactions in cash for services provided. According to the Centre for Economic and Market Analyses the overall sum lost to state revenues could help create 1.5 million new jobs.