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Italy takes 121 mln euros from Amazon unit over supposed tax, labour offences

Italy's tax cops have took some 121 million euros from an Italian unit of ecommerce huge Amazon as part of an examination into alleged tax scams and illegal labour practices, prosecutors' files showed on Tuesday.

In a 94-page order, the Milan District attorneys' Workplace implicates the logistic services unit Amazon Italia Transport of preventing labour and tax laws, depending on cooperatives or limited liability business that provided workers while omitting VAT tax responsibilities and minimizing social security payments.

Prosecutors declare such a system enabled the Amazon unit to keep the rates of its services competitive in the Italian market.

An Amazon representative in Italy had no instant remark when asked about the case.

Similar investigations have actually targeted other big organizations in the last few years consisting of worldwide shipment groups DHL and UPS , German logistics firm DB Schenker and Italian grocery store chain Esselunga, prosecutors stated.

(source: Reuters)