Amazon in Italy has been accused of tax fraud
Kyiv • UNN
Italian financial police seized assets of Amazon's Milan division worth 121 million euros due to allegations of tax fraud. The company is suspected of illegally transferring logistics services to subcontractors to cut costs.
Italy's financial police have seized €121 million worth of assets from the Milan unit of US company Amazon over allegations of tax fraud and worker exploitation, writes UNN citing Euronews.
Details
This reportedly involves a system whereby large companies illegally outsource logistics services to subcontractors (cooperatives and limited liability companies) in order to reduce labor costs and pay less tax.
Amazon said it complied with all the necessary regulations.
Supplement
Milan prosecutors are conducting similar investigations into well-known delivery and logistics companies, including UPS and DHL.