Netflix raids: US platform suspected of tax fraud

Netflix is currently under investigation for suspected tax fraud in France. Several searches have been carried out at the company's offices in Paris. This action is the result of a preliminary investigation launched by the National Financial Prosecutor's Office (PNF), in response to allegations that Netflix allegedly understated its revenues in France to reduce its taxes.

The investigation focuses on practices that could amount to aggressive tax planning, including shifting profits to subsidiaries in countries with more favorable tax rates. Netflix has already drawn criticism in Europe for its tax strategy, as its revenue from local subscriptions is often billed through entities based in countries such as the Netherlands, where the company benefits from more favorable tax regimes.

Netflix's reaction remains measured for the moment. The company said it was cooperating fully with French authorities. Le PNF, for its part, is trying to examine whether these practices comply with French tax regulations, in a context where many European governments are seeking to reduce the tax maneuvers of digital giants.