{"id":1964367,"date":"2023-07-05T08:04:02","date_gmt":"2023-07-05T12:04:02","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/italys-meta-tax-review-gets-underway-in-potential-test-case-for-tech-sector\/"},"modified":"2023-07-05T08:05:55","modified_gmt":"2023-07-05T12:05:55","slug":"italys-meta-tax-review-gets-underway-in-potential-test-case-for-tech-sector","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/italys-meta-tax-review-gets-underway-in-potential-test-case-for-tech-sector\/","title":{"rendered":"Italy is starting its Meta tax review, which could set a precedent for the tech industry."},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">32<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fitalys-meta-tax-review-gets-underway-in-potential-test-case-for-tech-sector%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1964367&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><div class=\"entry-content\">\n<p><strong>Italy&#8217;s Tax Case Against Facebook&#8217;s Meta Could Have Far-Reaching Consequences for the Tech Sector<\/strong><\/p>\n<p>By Emilio Parodi<\/p>\n<p>MILAN (Reuters) \u2013 Italy expects to take until the end of the year for an initial assessment of Facebook parent Meta in a tax case that could land the U.S. company with a bill of around 870 million euros ($925 million) and prove a test case for the tech sector.<\/p>\n<div id=\"div-gpt-ad-1663871513696-art-1\" style=\"min-width: 320px; min-height: 50px;  text-align: center;\">  \t<script>  \t\tgoogletag.cmd.push(function() { googletag.display('div-gpt-ad-1663871513696-art-1'); });  \t<\/script>  <\/div>\n<div class=\"ad-slot__ad-label\">Advertisement<\/div>\n<\/p>\n<p>Although a modest sum for a company that brought in more than $32 billion in revenue last year, the case could have much wider ramifications for the industry as it hinges on the way that Meta provides access to services such as Facebook and Instagram.<\/p>\n<p>The case stemmed from an Italian audit that claimed Meta user registrations could be seen as a taxable transaction as they implied the non-monetary exchange of a membership account for the user\u2019s personal data.     <\/p>\n<p>The audit, devised and carried out by Italy\u2019s Guardia di Finanza (GdF) police, was passed on by the European Public Prosecutor\u2019s Office (EPPO) and a criminal investigation was opened earlier this year by Milan magistrates. <\/p>\n<p>That has prompted a dialogue between Meta and the Italian tax agency \u2014 the assessment phase \u2014 which will end this year either with the company\u2019s acceptance of payment or with the start of tax litigation. <\/p>\n<p>The assessment, according to a source with direct knowledge of the matter, involves the highest ranking Italian tax officials because of the sensitivity of the issue. Its outcome will condition how the criminal investigation is pursued.<\/p>\n<p>Meta said it takes its tax obligations seriously, pays all tax required in the countries where it operates and will fully cooperate with the Italian authorities.<\/p>\n<p>\u201cWe strongly disagree with the idea that providing access to online platforms to users should be charged with VAT,\u201d a Meta spokesperson said in an emailed statement to Reuters.<\/p>\n<p>DIRECT LINK?<\/p>\n<p>Italy\u2019s tax police and revenue agency calculated a model under which Meta would have had to pay around 220 million euros of sales tax in the country in 2021. The figure for the period back to 2015 was calculated at 870 million euros.<\/p>\n<p>\u201cThe GdF objection would essentially stem from the fact that social memberships, although allowed free of charge, implied the payment of a non-monetary consideration represented by the users\u2019 concession to META\u2019s use of their personal data,\u201d said Sergio Sirabella, an international tax adviser.<\/p>\n<p>He added that the GdF approach would be successful if it established \u201ca direct link between the provision of free membership to online platforms and the data that is harvested from users\u201d.<\/p>\n<p>\u201cThe consequence of this would be that the entire industry sector of digital platforms and the tech giants would have to review how users access data,\u201d added Sirabella, who has\u00a0lectured at the GdF\u2019s Economic Financial Police School.<\/p>\n<p>Meta will base its defence on the argument that there is no direct link between its services and access to data that can help advertisers to target consumers.<\/p>\n<p>The EPPO is awaiting the outcome of the Italian case before it decides whether to <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/italys-meta-tax-review-gets-underway-in-potential-test-case-for-tech-sector\/\" title=\"Italy is starting its Meta tax review, which could set a precedent for the tech industry.\">pursue similar action<\/a> in other European Union states, a source with knowledge of the matter had said. <\/p>\n<\/p>\n<p> (Reporting by Emilio Parodi; Writing by Keith Weir; Editing by Devika Syamnath)<\/p>\n<p><a href=\"https:\/\/www.oann.com\/uncategorized\/italys-meta-tax-review\/attachment\/file-photo-facebooks-new-rebrand-logo-meta-is-seen-on\/\"><\/a><\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>with Joshua Coleman<\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>with Ryan Helfenbein<\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>with Tom Maoli<\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>with A.J. Hurley<\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>By Kanishka Singh WASHINGTON (Reuters) -A U.S. federal judge on Tuesday restricted some agencies and officials of the administration of President Joe\u2026 <\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>By Kane Wu HONG KONG (Reuters) \u2013 Beijing Fourth Paradigm Technology, an AI startup, has <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/leicester-city-fined-for-uk-anti-competitive-arrangement-with-jd-sports\/\" title=\"Leicester City fined for UK anti-competition deal with JD Sports.\">completed procedural work<\/a> for a Hong Kong\u2026 <\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>By Nick Carey LONDON (Reuters) -A lack of data on electric vehicle (EV) batteries continues to challenge insurers who are forced to\u2026 <\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>TAIPEI (Reuters) \u2013 Taiwan\u2019s Foxconn, a major iPhone assembler for Apple Inc, said on Wednesday that second <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/teamsters-says-ups-walks-away-from-negotiations-raising-chances-of-strike\/\" title=\"UPS has abandoned negotiations, increasing the likelihood of a strike, according to Teamsters.\">quarter revenue dropped 13<\/a>.8% year-on-year\u2026 <\/p>\n<\/p><\/div>\n","protected":false},"excerpt":{"rendered":"<p>Italy expects to complete its initial assessment of Facebook parent Meta&#8217;s tax case by the end of the year. The outcome could result in a hefty bill of approximately 870 million euros ($925 million) for the tech giant, setting a precedent for the industry.<\/p>\n","protected":false},"author":66,"featured_media":1964368,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","fifu_image_alt":"","footnotes":""},"categories":[542],"tags":[],"class_list":["post-1964367","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-oann"],"fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1964367","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/66"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=1964367"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1964367\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/1964368"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=1964367"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=1964367"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=1964367"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}