Netflix Offices in Paris and Amsterdam Raided Amid Tax Fraud Investigation
Authorities in France and the Netherlands have raided Netflix’s offices in Paris and Amsterdam as part of an ongoing investigation into suspected tax fraud. French judicial sources confirmed that the probe, initiated in November 2022, has seen cooperation between the two countries as they examine Netflix’s tax practices across Europe.
The French National Financial Prosecutor’s Office (PNF), known for handling high-profile white-collar crime cases, is leading the investigation on France’s behalf. The PNF suspects Netflix of “covering up serious tax fraud and unreported employment.” The inquiry includes a review of Netflix’s tax declarations from 2019 through 2021.
The Dutch office, which serves as Netflix’s European headquarters overseeing operations in Europe, the Middle East, and Africa, was also searched. Officials in both countries have reportedly coordinated their efforts for months, with Dutch authorities conducting simultaneous searches at Netflix’s Amsterdam site.
While Netflix has not commented directly on the raids, the company emphasized its adherence to tax laws in each market where it operates.
French media previously reported that Netflix had minimized its tax obligations in France by attributing French revenue to its Dutch entity until 2021. Following the end of this arrangement, Netflix’s declared French revenue surged from €47.1 million in 2020 to €1.2 billion in 2021. Investigators are now examining whether similar profit-minimizing practices continued post-2021.
Netflix, which established a formal office in Paris in 2020, has built a large French subscriber base, estimated at around 10 million users.