Amazon’s European marketplace business has been notified by Milan prosecutors that it could face trial in Italy over alleged unpaid import VAT and customs duties on goods sold through Amazon’s marketplace and logistics network.
The notice, reported by Reuters on Nov. 10, 2026, was served on Luxembourg-based Amazon EU S.à r.l. and two senior managers.
What prosecutors are alleging
Milan prosecutors allege that more than 1.5 million products from outside the European Union were sold in Italy through Amazon’s marketplace and logistics network without proper payment of import VAT and customs duties. Prosecutors have so far quantified alleged unpaid import VAT at more than €3.52 million, while customs authorities are still calculating the amount of duties allegedly evaded.
The case focuses on goods imported mainly from China and then sold through Amazon’s marketplace and logistics infrastructure in Italy. Reuters reported that the notice was served on 70 suspects in total, including Amazon, the two Amazon managers and operators of online stores accused of bypassing customs declarations and import taxes.
According to the document seen by Reuters, prosecutors argue that Amazon failed to put in place organisational measures capable of preventing customs offences. They also allege the company allowed non-EU goods to move through its logistics network despite irregularities in customs compliance.
The prosecutors’ theory also turns on data access and seller checks. Reuters reported that prosecutors allege Amazon knew, or should reasonably have known, that around 80% of goods handled through its Italian logistics system originated in China, but failed to carry out adequate checks on sellers, customs documentation and warehouse movements. The notice also alleges that Amazon’s automated systems in Italy did not have direct access to key seller identification data held abroad.
Reuters also reported in November 2025 that Italian police raided Amazon’s Milan headquarters and a logistics hub near Bergamo in the customs and tax fraud inquiry tied to Chinese imports. At that stage, prosecutors suspected goods were being imported from China into Europe and then moved into Italy through undisclosed channels for sale through Amazon’s marketplace.
Amazon says it will fight the proceeding
Amazon denied wrongdoing. The company said it is committed to complying with applicable laws and requiring marketplace sellers to do the same, and said it would vigorously defend its position in what it called an ungrounded proceeding.
Amazon has also emphasized the scale of its Italian operations. In a September company update, Amazon said it had invested more than €30 billion in Italy since 2010, had more than 19,000 permanent employees in the country, and recorded more than €1.89 billion in total Italian tax contributions in 2025.
The case lands as Europe tightens e-commerce import rules
The Italian probe arrives while EU institutions are trying to regain control over a surge in small parcels entering the bloc through online shopping channels. The Council of the European Union says 4.6 billion e-commerce parcels valued below €150 were imported into the EU in 2024, with 91% of those shipments coming from China.
European Commission data shows the volume of low-value consignments kept rising in 2025, reaching close to 5.9 billion items by year-end. By volume, the Commission’s data put China at 93% of products imported in this category in 2025.
That regulatory push is moving beyond parcel volume. On Nov. 9, 2026, the European Commission welcomed a Council general approach to remove the €150 threshold for the VAT Import One-Stop Shop. The Commission said the planned rules would let online sellers and marketplaces declare and pay VAT through one registration regardless of the value of the imported goods. It said platforms would be responsible for VAT on the distance sales of imported goods they facilitate, with products subject to excise duty still excluded. The planned start date is July 1, 2028, subject to formal adoption and the EU Customs Data Hub becoming operational.
Not Amazon’s only Italy tax dispute
The current customs-focused file is separate from another Italian VAT case involving Amazon. In March 2026, Reuters reported that Milan prosecutors had requested a trial for Amazon’s European unit and four managers over alleged tax evasion worth about €1.2 billion, tied to online sales in Italy between 2019 and 2021. Reuters said Amazon had agreed to pay €527 million, including interest, to settle the tax dispute with Italy’s Revenue Agency, but prosecutors decided to press ahead.
Why marketplace operators will be watching
The practical issue is not only whether a seller failed to pay tax. The prosecutors’ case, as reported, asks whether a marketplace’s logistics network, seller-data systems and compliance controls can be treated as part of the alleged failure.
That question matters for platforms and cross-border sellers because imported-goods compliance often depends on several separate records matching: who the seller is, who the importer is, where the goods originated, which customs declaration applies, where VAT was collected and how goods moved through warehouses. If one part of that chain is opaque, authorities may look beyond the seller account and examine the platform systems that enabled the transaction.
What happens next
The reported allegations remain unproven, and the notice does not mean a trial has already been ordered. Reuters said the notice concludes the Italian investigation and that, under Italian law, recipients may submit arguments, documents and evidence before prosecutors decide whether to seek a trial.
Get new small business insights by email
Practical ideas and useful articles to help you make better business decisions.
Tech Help Canada Staff researches, writes, and reviews practical content for business owners and professionals. Our coverage spans business, marketing, SEO, technology, and the tools and systems people use to grow and operate online. We focus on clear, useful information backed by research, hands-on experience, and editorial review. Learn more about our team and editorial standards. Need help with something? Contact Us
