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Amazon to pay €100m to settle Italy tax dispute

December 15, 2017 2:09 pm by
Davide Ghiglione

Italy’s tax agency – known as Agenzia delle Entrate – said it reached an agreement with Amazon to settle outstanding tax claims covering the period between 2011 and 2015.
According to a statement issued on Friday by the tax agency, Amazon will pay a total of €100m to resolve the dispute. It said the “path had been resumed” for deals to ensure “the correct taxation in Italy for activities related to our country”.
In April, the Guardia di Finanza, Italian tax police, said it believed Amazon owed between €120m and €130m in Italy.
The move comes amid mounting pressure on corporations over their tax affairs and EU efforts to impose heavier taxes on Google, Amazon and other tech giants.
Back in May, Alphabet Inc’s Google agreed to pay €306m to settle a tax dispute with Italy.
While Facebook announced this month that it will shake up its tax structure and book less of its revenue in Ireland. The move could mean the company faces higher taxes as it books revenue in countries such as Italy, France and Germany. The next Italian budget, due to be approved next week in parliament, is expected to contain a so-called “web t
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