Italian tax police executed searches at Amazon premises. The company is under scrutiny regarding allegations of tax evasion. Although Amazon finalized a tax accord with Italy in 2024, its Milan offices have been operational there since 2012.
The Italian fiscal police conducted raids on Amazon’s Milan location as part of an inquiry into tax avoidance, as reported by Reuters, citing two individuals aware of the situation.
Law enforcement officials also searched the residences of seven Amazon executives and the local premises of the auditing firm KPMG. The investigation aims to determine whether the US-based corporation maintained a fixed establishment in Italy spanning the years 2019 through 2024. Should this be substantiated, Amazon would be liable for significantly larger tax contributions to the Italian treasury.
Milan’s public prosecutor initiated proceedings against Amazon EU Sarl, the Luxembourg-registered entity, and its director, Barbara Scarafia, on suspicion of concealing revenues, according to a search warrant reviewed by Reuters.
Neither Amazon nor KPMG issued comments regarding the reports of the searches.
The warrant suggests that Amazon possessed a permanent presence in Italy preceding August 2024. During this timeframe, the document notes, the company failed to remit its full tax obligations in Italy. It was only in August 2024 that an agreement was reached with the Italian tax authority.
According to Reuters’ sources, the tax police confiscated computing equipment and other hardware, including hard drives containing employee emails. Internal correspondence within Amazon’s systems is subject to automatic deletion every three months.
Amazon’s Milan facilities commenced operations back in September 2012, as stated on the company’s website. “Since opening in 2012, the Milan office has generated over 250 permanent roles and continues to expand. The office personnel support various facets of Amazon’s business operations. The site employs specialists and managerial staff,” the website details.
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