Italy pushes fintech ION to pay EUR 1.2 billion in tax evasion probe

According to individuals familiar with the matter cited by Reuters, who have requested anonymity, prosecutors in Bologna, Italy, have conducted a probe into ION’s alleged tax evasion over a period of 10 years, specifically between 2013 and 2023. This investigation is part of a series of tax evasion cases in Italy involving US tech companies, which are currently under broader scrutiny in response to the trade war initiated by US President Donald Trump’s administration.

Tax failures

As a privately held provider of financial services software and data, ION has invested nearly EUR 6 billion in acquisitions in Italy in recent years, aiming to establish a hub that offers data and digital services to smaller financial institutions.

As detailed by the aforementioned sources, Italian tax authorities are requesting up to EUR 500 million from ION for missing revenues, which can double when interest payments are included. Additionally, the charges are failure to file a tax return, with prosecutors and the region’s tax police in Bologna reporting that ION declared income abroad that was, in fact, generated in Italy.

At the time of writing, the fintech group’s lawyers were in discussions with the Italian tax authority to challenge the claims.

In addition to ION, Italian regulators have provided tax demands to other US companies in March 2025, including Meta, X, and LinkedIn, in a VAT claim against the region’s tech firms that could have repercussions across the EU. At that time, sources told that Meta and X were under investigation due to reported tax fraud, however, it was not disclosed why LinkedIn was also involved in Italy’s move for the technology sector. Also, the region sought EUR 887 million from Meta, EUR 12.5 million from X, and approximately EUR 140 million from LinkedIn.