Netflix to Settle Tax Dispute With Italy for $59.1 Million, Opens First Office in Rome Hiring Over 40 Employees

US streaming service Netflix has agreed to settle a tax dispute with Italy, the corporate and authorized sources stated on Friday.

Milan prosecutors issued an announcement saying that they had settled with a multinational video on-demand streaming firm for a interval masking Oct. 2015 to 2019 and requested it to pay EUR 55.8 million (roughly (*40*). 460 crore).

They gave the settlement determine with out particularly naming the corporate concerned however three sources with information of the matter confirmed it was Netflix.

A Netflix spokesperson stated the corporate was happy to have the matter finalised.

“We have maintained fixed dialogue and cooperation with the Italian authorities and proceed to imagine that now we have acted in full compliance with Italian and worldwide guidelines,” the spokesperson stated.

Prosecutors had opened an investigation into potential tax evasion three years in the past.

They claimed Netflix ought to have paid taxes in Italy as a result of it relied on digital infrastructure to stream content material to 2 million customers in the nation.

As a backdrop to the fee settlement, Netflix has now opened an workplace in Italy, establishing a base in Rome and hiring greater than 40 staff.

The investigation by Milan prosecutors who argued that cables and laptop servers utilized by Netflix amounted to a bodily presence in Italy, had been triggered by checks performed by Italy’s tax police.

Milan prosecutors in the previous have probed different US tech giants equivalent to Apple, Amazon, and Facebook for dodging taxes, permitting Italy to web a number of billion euros in fines and tax funds.

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