Italian prosecutors are examining whether online giant Amazon.com evaded 1.2 billion euros in value-added tax (VAT) it should have paid on behalf of certain third-party sellers, sources told AFP Monday.

Italian prosecutors are investigating Amazon and its executives for alleged tax evasion of 1.2 billion euros. The probe has uncovered potential VAT fraud involving non-EU sellers, primarily from China.

Tech giant hit by total claim worth €3bn amid investigation over sale of goods from non-EU countries including China

Italian prosecutors are investigating e-commerce giant Amazon and three of its executives over alleged tax evasion worth 1.2 billion euros ($1.26 billion), two sources with direct knowledge of the matter said on Friday.