Google settlement with Italian tax authorities: paid 326 million euros

Milan prosecutors close investigation into Google Ireland for unpaid taxes between 2015 and 2019

Google has reached a settlement with the Italian tax authorities, paying 326 million euros for unpaid taxes, penalties and interest. Following investigations conducted by the Guardia di Finanza and the Agenzia delle Entrate, it emerged that Google Ireland Limited had not declared or paid taxes on income generated in Italy between 2015 and 2019, exploiting an alleged hidden permanent establishment consisting of its servers and technological infrastructure.

According to Milan prosecutors, the Irish company had also failed to file annual income and withholding tax returns on royalties related to the use of Google’s programs and intellectual property. With the settlement, Google settled its tax liabilities, acceding to the qualification of the offense as tax avoidance and paying the full amount in a lump sum.

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