FINANCED MINISTER ON INSPECTIONS OF INCOME & ASSETS

ZAGREB, April 17 (Hina) - The Croatian Finance Ministry in continually involved in comparing income and assets owned by residents, Minister Mato Crkvenac told Hina on Thursday. Currently it is investigating about 560 cases where suspicion exists about the disproportion of income and assets gained over a certain tax period. #L# The Finance Ministry noted that this was not anything out of the ordinary but part of the Tax Department's regular activities, i.e. to check the origin of finances, tax payments and comparing them with assets gained. The ministry will soon release its findings. Taxpayers to be targeted are those who register relatively small incomes yet are building villas, Crkvenac said. Tax legislation clearly points out that it is every citizen's obligation to submit income statements, the Ministry said, adding that in the contrary they could face fines up to 200,000 kuna (EUR26,700). Citizens must know, the Ministry said, that this is in their interest because the more tax evaders there are, citizens who are more conscientious have to pay greater taxes, he said. "We are doing everything we can to reduce the 'grey' or 'black' side of the economy as much as possible, and as a result, to expand the tax base and thus decrease tax rates," he said. (hina) sp ha