Sales of Hugo Boss and Valentino prompt tax enquiry

The sale of Hugo Boss and Valentino has prompted a tax

enquiry leading to the seizure of 65 million euros of assets.

This week Italy’s tax police stated they had confiscated real estate, land and corporate holdings of 13 people linked to the Marzotto Group, one of Italy’s leading fashion and textile houses.

The 13 people in question included members of the well-known Marzotto family. Back in 2007 Marzotto sold its holdings of the Valentino Fashion Group, which included both the Valentino label and Hugo Boss, to private finance group Permira in 2007 for 5,3 billion euro.

The people under investigation are suspected of not having filed tax returns. Lawyers representing the Marzotto Group said on Monday the decision taken by Milan prosecutors ordering the seizure was “totally groundless”. The lawyers said bank documents showed capital gains from the operation had been declared and taxed.