Ryanair boss faces investigation into alleged tax evasion in Italy (The Guardian-UK)

October 17, 2012

Prosecutor launches investigation after 220 staff hired in Bergamo, Italy, were put on books in Dublin where taxes are lower

An Italian prosecutor has opened an investigation into Michael O’Leary, the chief executive of Ryanair, and Juliusz Komorek, the airline’s legal affairs director, for alleged tax evasion.

The investigation, reported by Italy’s Corriere della Sera, concerns Ryanair’s hiring of 220 staff at its Bergamo hub near Milan while putting them on the books in Dublin, where tax rates are far lower.

Estimating the loss to the Italian state at €12m in taxes, the magistrate Maria Mocciaro gave the airline 90 days to settle its account, an offer Ryanair turned down, the newspaper reported.

Although the airline’s Bergamo staff are required to live near the airport, Ryanair claims they work on board Ryanair aircraft and their taxes should be paid in Ireland, the home of the carrier.

Complete article in The Guardian-UK

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