Apple ordered to pay Italy 318 million euros after tax fraud probe

The company's Italian subsidiary has been under investigation for allegedly failing to declare more than one billion euros ($1.5 billion) to the tax authorities, according to Italian daily La Repubblica.

The tax office spokesman confirmed the newspaper's report was accurate but would not divulge further details of the confidential case.

Apple Italia did not respond immediately to a request for comment.

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According to La Repubblica, the payment followed months of negotiations and corresponded to the full amount demanded by the Italian authorities in relation to the 2008-13 tax years.

It comes against a backdrop of mounting controversy over the tax arrangements of multinational groups who use cross-border corporate structures to reduce their tax bills.

Apple Italia is part of the company's European operation which is headquartered in Ireland, a country with one of the lowest levels of corporation tax in the European Union.