Google’s parent company, Alphabet, has paid €326 million to settle a long-running tax dispute with Italian authorities, according to an announcement by the Milan Public Prosecutor’s Office.
The payment resolves allegations that Google failed to pay its due taxes in Italy between 2015 and 2019. The prosecution has now recommended closing the case, pending final approval by an investigating judge.
According to prosecutors, Google Ireland Limited, a subsidiary registered under Irish law, did not file its annual income declarations in Italy during this period.
The dispute mainly concerns revenue from selling advertising space in the country, which was allegedly not properly taxed.
Following negotiations, Google agreed to pay €326 million, covering taxes, fines, and interest, allowing the company to avoid further investigations. However, the final decision rests with the preliminary investigation judge overseeing the case.
Italy has been ramping up its regulatory oversight of major tech companies. In July 2023, the Italian Competition Authority (AGCM) launched an investigation into Google and its parent company Alphabet over concerns that its user consent requests for service integration could constitute “misleading and aggressive commercial practices”.
In November 2021, the regulator also fined Google and Apple €20 million—€10 million each—for aggressive data collection practices used for commercial purposes.
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