Carmaker Fiat Chrysler Automobiles' (FCA) decision to move its financial and legal services offices out of Italy is a major blow to Italian tax revenues, Italian Competition Authority (AGCM) chief Roberto Rustichelli said on Tuesday.
In his annual report to parliament, the competition chief complained of a "significant economic loss of government revenue" caused by FCA moving its fiscal headquarters to London and its parent company Exor moving its legal and tax office to the Netherlands.
According to Rustichelli, Italy is one of the countries most affected by fiscal competition. He noted that the total cost of such steps for Italy amounts to $5-8 billion in lost income per year. Moreover, the UK, the Netherlands, Ireland and Luxembourg are among the countries that practice unfair tax competition.
For Italy, this topic is very relevant, as more and more companies plan to follow in the footsteps of the FCA.
For example, Italian broadcaster Mediaset, controlled by the family of former Prime Minister Silvio Berlusconi, wants to move its legal headquarters to Amsterdam. Italian cement manufacturer Cementir also announced the transfer of its registered offices to the Netherlands.
Source: 3dnews.ru