Netflix offices in France and Netherlands raided in tax fraud investigation

Investigators searched at Netflix offices in France and the Netherlands on Tuesday, as part of an ongoing investigation into potential tax fraud and money laundering, according to a French judicial source.

The investigation, launched by France's Parquet National Financier (PNF) in November 2022, included coordinated raids on Netflix's Paris office and its European headquarters in Amsterdam.

The PNF, a specialized financial crime unit, is known for handling high-profile cases involving international corporations. Authorities from France and the Netherlands have been cooperating closely on the case for several months, the French judicial source added.

A Netflix spokesperson confirmed the company's cooperation with French authorities, saying that the streaming service adheres to tax laws in all countries where it operates and is a "significant contributor to the local economy" in France.

Netflix's French operations saw revenue rise sharply to approximately 1.2 billion euros in 2021, up from 47 million the previous year, corporate records show. However, the company did not respond to inquiries regarding alleged revenue reporting through its Amsterdam headquarters rather than France in earlier years.

The PNF has not disclosed further details on the scope of the investigation. A preliminary inquiry in France does not imply criminal charges and may or may not result in a trial.

(With input from Reuters)