An Italian unit of Amazon has paid 180 million euros in compensation to the Italian tax agency, ending a probe into alleged tax fraud and illegal labor practices. Milan prosecutors seized 121 million euros from the unit in July 2024, with the total amount paid by companies in similar investigations exceeding 1 billion euros.

Amazon’s logistics services unit was accused of circumventing labor and tax laws by relying on cooperatives to supply workers, avoiding VAT tax, and reducing social security payments. The company has settled with Italian authorities and stated that their collaboration model with delivery partners meets high standards, improving compliance across the industry.

Milan prosecutors have investigated large businesses like DHL, FedEx, UPS, and Esselunga over hiring practices. Amazon’s settlement was reported by Il Sole 24 Ore newspaper. The company’s engagement with Italian institutions and stakeholders has been praised for improving compliance in the delivery industry.

Read more at Yahoo Finance: Amazon pays Italy 180 million euros to end tax, labour probe, sources say