First the European Public Prosecutor, then that of Milano: the file opened against Meta, Mark's Colossus Zuckerberg, is voluminous and speaks of omitted VAT payment for approx 870 million euros. The figure emerged following the investigations of the Economic and Financial Police Unit of the Guardia di Finanza based on the non-presentation of the declaration of value added tax by the controlling behemoth Facebook, Instagram and WhatsAppfor the years 2015 to 2021.
The investigation had been initiated by the European Public Prosecutor's Office, Il Fatto Quotidiano reported.
I European pms Giordano Baggio, Sergio Spadaro and the European Deputy Prosecutor Danilo Ceccarelli initially started an administrative investigation, but then turned the case over to the pm in Milan. Now following the dossier is Giovanni Polizzi who is part of the substitutes of the second department led by Tiziana Siciliano.
The news comes a few days after the announcement by Meta, of wanting activate paid profiles for Facebook and Instagram users, in the wake of what Twitter has done.
Under the lens of the Gdf, user registrations on platforms with their personal data
La Guardia di Finanza, who carried out the investigations, made a calculation on the so-called exchange of different goods. In essence, unpaid VAT concerns theuser registration on the various social platforms of the group. It is true that these registrations are free, but the user actually pays a sort of 'fee' by making his personal data with lots of potential profiling. And it is precisely on this exchange that Meta can make a profit, which, on the basis of a legal and fiscal approach, must be taxed with the application of VAT.
Goal: Willing to cooperate, but strongly disagree
Mark's company reply Zuckerberg it is not long in coming. "We take our tax obligations seriously and pay all required taxes in each of the countries in which we operate" replied the company, adding however that it is "strongly disagree with the idea that access by users to online platforms should be subject to the payment of VAT. As always, we are willing to collaborate fully with the authorities with respect to our obligations deriving from European and national legislation”.
New layoffs coming?
Meanwhile the Washington Post in the United States reports that MetaPlatforms (owned by Facebook and Instagram) would be ready for a new round of layoffs, that should be about thousand of workers, and to one reorganization which it should provide elimination of some levels of the organizational structure, leading to the demotion of many managers.
After cutting, in the wake of other Big Techs, 11.000 jobs, about 13% of the workforce, in November, CEO Mark Zuckerberg had tried to reassure Meta employees, saying he did not "expect more layoffs". This month, Zuckerberg called 2023 "the year of efficiency", promising investors better organization of work. Right now, Meta's stock is down 0,7%.
