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Google is paying 306 million euros ($334 million) for settling tax disputes in Italy

In Italy, Alphabet has been accused of evading taxes by booking income earned in higher-taxing European markets through a unit based in low-tax Ireland. Because of which the multinational was under investigation in Italy for allegedly evading about 1 billion Euros of the Italian taxes between 2009 and 2013.

A proposal from Google to pay up to 306 million Euros ($334 million) for settling a year-long tax dispute is now under consideration by the Italian tax authorities. A spokeswoman for the U.S. Company stated that in addition to the taxes that have already been paid in Italy, Google will be paying another amount of 306 million euros. Alphabet’s Google has agreed to pay for this amount and states that the agreement covers the years between 2002 and 2015.

Although previously, the U.S. stated that it obeyed all the tax rules in every country it operated but in a separate statement on Thursday, the Italian tax office reported that the amount to be paid by Google was referenced to both Google Italy and Google Ireland units.

The authorities state that making the internet giant go through the process will make the other similar large companies follow the correct taxation policies in Italy.

Via: Fortune

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