International Tax Scrutiny: Netflix Faces Investigations in Europe

Investigations into Netflix's operations in France and the Netherlands have been launched as part of a preliminary probe into tax fraud laundering. The Parquet National Financier in France is leading this effort, highlighting Netflix's financial activities and potential tax discrepancies in its European offices.

The offices of streaming giant Netflix were searched in France and the Netherlands amid a preliminary probe into tax fraud laundering, a judicial source revealed. This investigation, led by the Parquet National Financier (PNF), a French fiscal crime unit known for high-profile cases, began in November 2022.

"Netflix is working with authorities in France, emphasizing our compliance with applicable tax codes," a company spokesperson stated. Authorities conducted raids on Netflix's central Paris office, alongside concurrent searches of its Amsterdam headquarters by Dutch officials.

The investigation does not imply criminal charges or a definite trial outcome. Large tech firms like Netflix frequently encounter issues with European tax rules, especially concerning cross-border services. Previous allegations suggested discrepancies in Netflix's reported figures pertaining to France and the use of a separate Dutch unit to report revenues.

(With inputs from agencies.)