Italy to Investigate Netflix for Failing to File Tax Return
- Country has been cracking down on multinationals over tax
- Southern Europe is key to U.S. streaming giant’s growth
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Italian prosecutors are investigating Netflix Inc. after the U.S. streaming company failed to file a tax return, according to people familiar with the matter.
The Milan tribunal opened the probe as the prosecutors believe Netflix has enough of a physical presence in Italy -- including fiber optic cables and servers -- to qualify as a local business that should be paying taxes, said the people, who asked not to be named as the investigation is not public.