Pfizer Hid $1.2 Billion Profit, Italian Investigators Allege (2)

Pfizer Inc. is the target of an Italian probe alleging the company hid at least €1.2 billion ($1.2 billion) in profit by transferring money to units in other countries, according to people familiar with the investigation.

Italy’s finance police have alleged that Pfizer’s unit based just outside Rome, Pfizer Italia Srl, transferred excess capital to affiliates in the US and the Netherlands to avoid taxes on profit that could be as high as 26%, according to the people, who asked not to be named as the information isn’t public.

The company’s Italian branch allegedly sent the capital to foreign affiliates ...