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Amazon Strikes €511 Million Tax Deal in Italy as Criminal Probe Continues

The settlement reflects the tax authority’s solidary-liability approach rather than prosecutors’ broader fraud theory.

Overview

  • Amazon will pay €511 million to the Agenzia delle Entrate, bringing recent group payments to roughly €723 million when combined with about €212 million already made by Amazon Logistica and Amazon Italia Transport, with installment options available.
  • The agreement resolves the fiscal dispute over marketplace VAT for the 2019–2021 period involving distance sales by non‑EU sellers, largely Chinese vendors using Amazon’s platform.
  • Milan prosecutors continue a criminal investigation for alleged fraudulent declaration, with three managers under scrutiny including global tax vice president Kurt Lamp.
  • Investigators had previously calculated an exposure of about €3 billion in taxes, interest and penalties under a fraud-based interpretation that the tax agency did not support.
  • Enforcement actions remain in play, including searches at Amazon’s Milan office, the seizure of roughly 5,000 products, and inspections of logistics hubs that also examine potential customs issues.