Dolce & Gabbana fined 344 million euros by Italian Fiscal Authorities
In the ongoing legal battle over alleged fiscal fraud, Italian Fiscal Police has fined Dolce & Gabbana with 344 million euros, a much lower fine than the 800 million euro, initially anticipated. The trial has been opened by Italian authorities over Dolce & Gabbana’s alleged fiscal fraud to avoid paying taxes through an entity which the designer duo (also majority owners) set up in Luxembourg in 2004 with the aim of cashing royalty fees.
Dolce & Gabbana Luxemburg sarl was the owner of Gado, which would hold the brand royalties for Dolce & Gabbana srl. The company, has since, re-structured and re-organized its entire business under one holding company, refuting accusations by the Italian Fiscal Police as unfounded.