Amazon Milan Offices Raided as Italy Launches Fresh VAT and Corporate Tax Probe
On February 13, Italian financial police raided Amazon’s Milan offices in a fresh probe into alleged underpaid VAT and corporate taxes. The investigation heightens regulatory risks for Amazon’s European operations and could expose the company to substantial fines if officials confirm tax liabilities.
1. Investigation Details
On February 13, Italy’s Guardia di Finanza conducted multiple raids on Amazon’s Milan offices, seizing financial records and digital data. The operation focuses on alleged underreported value-added tax and corporate income tax related to sales and commission structures in Italy.
2. Potential Financial Impact
Should investigators confirm tax underpayments, Amazon could face fines up to tens of millions of euros and adjustments to previous tax filings. These liabilities may pressure quarterly earnings and force the company to allocate reserves for litigation and back taxes.
3. Broader European Regulatory Context
This probe follows similar inquiries in France and Spain, highlighting growing scrutiny of Amazon’s tax planning across the European Union. Continued legal challenges may weigh on investor sentiment and complicate expansion plans within key EU markets.