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Netflix’s Paris and Amsterdam Offices Raided by Tax Fraud Investigators (Reports)

by · Variety

Netflix‘s offices in Paris and Amsterdam were searched by tax fraud investigators on Tuesday, according to reports from Reuters and French news agency AFP.

A French judicial source told Reuters that the raid was part of a preliminary investigation into tax fraud laundering, and a similar search also occurred on Tuesday at Netflix’s EMEA headquarters in Amsterdam. The development was first reported by French paper Marianne.

According to Reuters, the French investigation is being conducted by the National Financial Prosecutor’s Office (PNF) and was opened in November 2022. The AFP reported that the investigation is regarding suspicions of “covering up serious tax fraud and off-the-books work.”

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“Cooperation between the French and Dutch authorities has been underway for many months as part of these proceedings,” the French source told Reuters.

Representatives for Netflix France and EMEA did not immediately respond to Variety‘s request for comment.

In France, a preliminary investigation does not necessarily mean criminal charges are forthcoming or that a trial will occur. The Reuters report also notes that tech companies that offer subscriptions around the world can often run into trouble with tax authorities in Europe.

In 2022, Netflix settled a tax dispute with the Italian government by paying €55.8 million ($59.1 million at the time). Italian prosecutors had opened a tax evasion investigation three years prior with the claim that the streamer should have paid taxes in Italy as it relied on its infrastructure to access millions of users in the country. In May of that year, Netflix opened an office in Rome.