Milan prosecutors plan to drop a case brought against the European division of Google after the company agreed to pay €326 million ($340 million) to settle a tax claim.
The agreement covers the period between 2015 and 2019and includes sanctions, penalties, and interest, prosecutors said in a statement.
Last year Reuters reported that Italy asked Google to pay 1 billion euros in unpaid taxes and penalties, seven years after the US company settled a previous landmark tax dispute with Rome authorities.
The Milan prosecutors alleged that Google did not file and pay taxes on revenue generated in Italy, basing its claim on the digital infrastructure Google has in the country.
In 2017 Google paid 306 million euros to settle a previous case that found it had a permanent presence in Italy.
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