Airbnb and Expedia win support from EU court in Italian financial dispute
The Italian authorities sought contributions from the platforms, regardless of whether their corporate headquarters were located outside of Italy's financial jurisdiction
Online service platforms such as Airbnb, Expedia, Google and Amazon have emerged victorious in a European court battle against an Italian law aimed at forcing greater disclosure and financial contributions.
Key takeaways
- In December, Airbnb agreed to pay €576 million to Italian tax authorities amid an investigation into alleged tax evasion. Prosecutors alleged that Airbnb didn't collect and remit the mandatory 21% of landlords' rental income, as required by a 2017 law;
- Three unnamed individuals who held senior positions at Airbnb between 2017 and 2021, the period when the violation allegedly occurred, were placed under investigation;
- Initially, a Milan judge ordered the seizure of 779.5 million euros from Airbnb's European headquarters in Ireland. But a month later, Airbnb settled with the Italian tax office for a lower amount.
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