Coca-Cola announced Friday it will pay $6 billion in back taxes and interest after a ruling in a case dating back nearly 20 years with the IRS.
The dispute covers fiscal years 2007-09, which is when the IRS claimed Coca-Cola should have reported a higher income as a result of international transfer pricing.
“The company looks forward to the opportunity to begin the appellate process and, as part of that process, will pay the agreed-upon liability and interest,” Coca-Cola said in a statement.
BOAR’S HEAD RECALL: WOMAN FILES CLASS ACTION LAWSUIT AGAINST DELI COMPANY
The soda company said it plans to appeal the ruling, which was delivered in two sentences by U.S. Tax Court Judge Albert Lauber.
FTC LAUNCHES INVESTIGATION INTO GROCERS OVER HIGH FOOD PRICES
According to The Wall Street Journal, Atlanta-based Coca-Cola said in a recent filing it would update its tax reserves if the company does not win its appeal.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| KO | THE COCA-COLA CO. | 69.31 | +1.35 | +1.99% |
Coca-Cola has 90 days to request a review of the decision by a federal appellate court.
The Wall Street Journal reported the company believes “it is more likely than not” that the appeals court will not overrule its tax positions, according to a regulatory report.
Read the full article here
The post Coca-Cola to pay $6 billion in back taxes and interest to the IRS after tax court ruling appeared first on Budget Busters Hub.