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Amazon Italy Tax Trial: $1.4B Evasion Case Moves Forward

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Italian prosecutors have requested a criminal trial for Amazon and four senior executives over allegations of $1.4 billion in tax evasion. The case centers on accusations that Amazon's Italian operations used complex international structures to avoid paying taxes on revenues generated in the country. Prosecutors allege the company underreported income and manipulated transfer pricing arrangements.

If approved by a judge, this would mark one of the largest tax evasion cases ever brought against a tech giant in Europe. The investigation, which has been ongoing for several years, focuses on Amazon's European headquarters in Luxembourg and its Italian subsidiary. Italian tax authorities claim the company shifted profits to lower-tax jurisdictions while maintaining substantial operations in Italy.

The case comes amid growing European scrutiny of multinational corporations' tax practices. Amazon has previously faced similar investigations in other EU countries, though this Italian case represents the most significant financial allegations to date. The company has denied wrongdoing and maintains it complies with all applicable tax laws.