Italy probing Amazon over 1.2b euros in third-party seller VAT / Photo: Ina FASSBENDER - AFP/File
-
Microsoft Outage Disrupts Outlook and Teams for Hours Globally
-
Inflation Breach and Bond Yields Spark Rate Hike Fears for December
-
RSC’s ‘Julius Caesar’ Reimagined in Women’s Prison Setting for School Tour
-
Documentary Reveals How Screams Exposed Alleged Camgirl Exploitation Ring
-
Korea Reviews GLP-1 Vision Loss Warnings Following US FDA Action
-
InterContinental Hotels Group PLC Announces Transaction in Own Shares - November 13
-
How Families Plan and Save for Holiday Travel
-
Below Deck alumnus João Franco and brother arrested after fatal Turkey fight
-
Ole Miss inquiry expands after video and monkey-noise allegations
-
General Hospital actor Randall England dies at 75
-
Argentina Inflation Rises to 2.2% in October Amid Core Price Decline
-
Bunnie XO artwork taken down from Jelly Roll’s Nashville bar
-
London museum removes Russell Brand hair exhibit after rape conviction
-
NRC Approves Construction of Advanced Nuclear Reactors at Texas Petrochemical Site
-
Arlington sentinel rebukes Pete Hegseth entourage for laughter near memorial
-
Yella Beezy sentenced to life for arranging rapper Mo3’s murder
-
Kylie Jenner employee describes closet ordeal and pepper-spray incident
-
Xi Jinping Urges Unity and Reunification at Sun Yat-sen Anniversary
-
Raz B's Son Died of Asphyxia Due to Airway Obstruction
-
Toddler Diagnosed With Leukemia After Symptoms Dismissed as Winter Illness
-
Authorities to identify Montauk Mary and five other Long Island cold-case victims
-
Davante Adams injury deepens Los Angeles Rams receiver shortage
-
Barbie sequel negotiations stall over reported $25 million pay packages
-
João Franco’s earlier post draws attention after arrest over fatal Turkey brawl
-
Bath & Body Works launches buy-one-get-one-free candle offer
-
Itlu Arjuna receives U/A certificate ahead of theatrical release
-
Dhananjaya de Silva guides Sri Lanka to 221-4 against Pakistan
-
Niraj Kumar earns Los Angeles Olympic quota with 50m rifle bronze
-
Delhi gold loses Rs 800 while silver falls Rs 5,000
-
India extends micro-credit guarantee plan for five years
-
Madlanga Commission Deadline Extended to 2027 Amid Calls for Structural Justice Reform
-
Pradeep Antony, Smeha Manimegalai portray secret spouses in Mr & Mrs Office
-
Zelenskyy arrives in Dublin for meetings on Ukraine and peace efforts
-
Black Brazilian Musician Freed After Year in Detention Calls for Immigrant Solidarity
-
Woman barred from every Greggs outlet after series of offences
-
Jury hears social-media image helped identify teen in Scarlett Faulkner case
-
Ketchup packets link suspect to break-in at Eddie Rocket’s restaurant
Italy probing Amazon over 1.2b euros in third-party seller VAT
Italian prosecutors are examining whether online giant Amazon.com evaded 1.2 billion euros in value-added tax (VAT) it should have paid on behalf of certain third-party sellers, sources told AFP Monday.
The total claim against the online retailer, including penalties, could rise to as much as three billion euros ($3.14 billion), a source in Italy's financial crimes police said.
The preliminary investigation, confirmed by a source within the Milan prosecutors' office, involves a three-year period from 2019 to 2021.
An Italian law in 2019 made e-commerce businesses responsible for the VAT owed by its third-party sellers outside the European Union selling goods to customers in Italy.
Previously, these third-party sellers were responsible for paying the tax.
The Italian law came ahead of a reform of EU e-commerce rules, which took effect in July 2021, that sought to simplify how online platforms collect VAT.
A review of transactions from 2019 to 2021 by Italy's financial crime police found "unpaid VAT" by Amazon amounting to 1.2 billion euros, a source at the force told AFP.
"If you add to this sum the penalties... you get up to three billion euros," the source said.
The police investigation, begun in the spring of 2024, wrapped up in December.
Amazon said it would not comment on ongoing investigations, but said it was "committed to complying with all applicable tax laws".
The Seattle-based tech company added that it had paid direct and indirect taxes of 1.4 billion euros to Italy in 2023.
A preliminary investigation by prosecutors does not necessarily lead to charges.
The Italian investigation comes as US President Donald Trump, who has railed against his country's trade deficit with the EU, has threatened the bloc with reciprocal tariffs.
He has said that VAT -- which is not a tariff but a consumption tax irrespective of the origin of the good -- could be subject to a reciprocal levy.
The EU measure that made online platforms liable for the tax obligations of third-part sellers was designed to ensure fair competition for the bloc and recoup lost VAT.
The reform also removed an exemption on collection of the tax on low-value goods.
H.Thompson--AT