Netflix bargains with the Italian tax authorities and pays 55 million and 850 thousand euros in taxes, penalties and interest for non-payment of the amount due to Italy from 2015 to 2019. In the meantime, from January 2022st, the streaming giant has opened an operational office in our country and therefore from next year (on XNUMX) will regularly pay taxes in Italy.
With today's payment, Netflix has closed the dispute with the Revenue Agency following an investigation by the Milan Public Prosecutor's Office and the Economic and Financial Police Unit of the Milanese Guardia di Finanza for omitted tax returns.
At the end of the tax assessment phase conducted by the Revenue Agency, the "multinational group proceeded with the total payment of 55.850.513 euros in a single solution by way of taxes, penalties and interest for define each slope with the taxman Italian for the period from October 2015 until 2019″, reads a note signed by the Milan prosecutor Marcello Viola.
According to the survey, the one carried out by Netflix represents “an occult permanent establishment of a foreign company operating in the digital economy completely without personnel and characterized exclusively by an advanced technological structure". Structure which, according to the Milan prosecutor's office, "would have been exclusively subservient to the performance of key corporate functions for the conduct of its business on the territory of the State". It is the first time such an accusation has been made against an international Big Tech.
Since January XNUMXst Netflix has set up a company “under Italian law which has started stipulating contracts and billing fees from subscriptions taken out with national users. This will determine the taxation in Italy of the income produced by the sale of subscriptions to users residing in the national territory”, reads the note from the Milan prosecutor.
"We are pleased to have put an end to this affair, which covered the fiscal years 2015-2019. We have maintained an ongoing dialogue and collaboration with the Italian authorities and continue to believe that we have acted in full compliance with the Italian and international rules applicable to the present case,” a Netflix spokesperson said.
