The Italian government is hoping to raise between EUR 100 and 200 million a year in revenue via a new ‘web tax’ aimed at internet giants, according to the president of the Senate's industry committee Massimo Mucchetti. The amendment to the budget law proposed by Muchetti is made up of a series of measures to tax in Italy income generated by digital multinationals irrespective of whether they are materially present in the country.
Under the terms of the proposal, non-resident companies that display a significant presence in the digital sector via the conclusion of more than 1,500 transactions per semester that generate revenues of at least EUR 1.5 million in each tax period will be invited to “regularise” their position by paying a 6 percent duty in all digital transactions. "I think it is reasonable to say that this type of activity could generate EUR 1 billion a year eventually" added Mucchetti, according to Ansa.
The government’s move comes after Google's parent company Alphabet agreed to pay a total of EUR 306 million in May as part of a deal to settle a long-running dispute with Italian tax authorities. Apple last year likewise agreed to pay EUR 318 million to settle an investigation while financial police in Milan have also reportedly accused Amazon of failing to pay some EUR 130 million of taxes in the country between 2011 and 2015.
