MILAN Jan 24 Italian fiscal police have been
carrying out checks at Luxottica to see whether the
world's biggest eyewear maker has avoided declaring income in
Italy, a senior judicial source with direct knowledge of the
case told Reuters.
Luxottica confirmed on Thursday that police had visited its
offices under request from prosecutors in the northern town of
Belluno, adding it was confident about a positive outcome.
Italian authorities have stepped up efforts to collect taxes
in recent months and have targeted foreign groups such as
Facebook, Google and LVMH jeweller
Bulgari to check whether they have complied with fiscal rules.
Bulgari, Facebook and Google have said they always complied
with tax laws in Italy and elsewhere.
The source said police searched Luxottica's offices last
week as part of checks into the use of transfer pricing - the
price at which groups trade supplies or labour between units in
"If transfer pricing responds to commercial strategies it is
not a wrong practice, but it may be aimed at moving taxable
income where taxation is more favourable", the source said.
Luxottica said its transactions only involved ordinary
exports of products from its manufacturing company Luxottica Srl
to its main divisions abroad.
"These are ordinary sales of products within the Luxottica
group and, as such, they neither represent extraordinary
operations nor involve third parties in tax-friendly countries,"
(Reporting by Antonella Ciancio and Sara Rossi; Editing by Dan