Posted on 09/19/2015 10:50:46 PM PDT by ForYourChildren
Coca-Cola was notified by the IRS that it owes $3.3 billion more in federal taxes, as well as interest, for 2007 to 2009, the company said Friday.
The Atlanta-based company said in a regulatory filing that it believes the assessments from the Internal Revenue Service are without merit and plans to pursue "all administrative and judicial remedies necessary to resolve the matter."
The maker of Sprite, Dasani, Powerade and other drinks says the disagreement is over how much it should report as taxable income in the U.S., in relation with licensing that allows its foreign affiliates to sell products like soft drink concentrates to bottlers overseas.
It's a tax issue that comes up frequently for multinational companies, said Robert Willens, president of a tax accounting consultancy in New York. He said companies tend to charge their foreign subsidiaries low licensing fees as a way to shift reportable income away from the U.S., where corporate tax rates are higher.
Typically, Willens said, the cases are settled for a fraction of the amount of the assessment.
"They hardly ever get to court, because neither party wants to experience the hazards of litigation," Willens said.
In a filing with the Securities and Exchange Commission, Coca-Cola said it has been following the same methodology for determining its taxable U.S. income for nearly 30 years.
"The IRS now seeks to depart from this long-standing practice in order to increase substantially the amount of tax," the company said in a statement. "We are among hundreds of other companies currently facing these types of adjustments involving payments."
(Excerpt) Read more at finance.yahoo.com ...
I’ve been guessing that the Federal government was pressuring corporations, very discretely, perhaps with some strong arming and gag orders.
Perhaps the common answer starting should now be: “We will not comply”
I had to look this up. At first I didn’t believe it. unfortunately it’s real and sickening too. No more Doritos for me.
Did contribute to the Dhimmicrat Party eh? The regime will absorb you like GM and Chrysler. It’s the New Marxist America charley brown.
This is why there is a Tea Party. Now we can call it the Coke & Tea Party.
Speaking of the Gestapo, for some reason went to the Congressman Even Jenkins of W. Va. gov web page and remembered that the attack on the coal industry is an attack on religious gun toting citizens. Also, he had a letter about the Feds NOT getting new safety standards on rail tank cars and high hazard flammable trains. Who owns those railroads? Why isn’t this being done quickly since rail lines are an easy terrorist target?
Again....
Anyone remember? Seems like I recall Bill Cosby owned a Coca Cola plant.
someone forgot to donate to democrats..
He is such a hypocrite
Pay up Warren just like your Secretary
I wonder how much of this has to do with Clokes recent decision to move much of its business out of the country?
——This could put coke out of business.——
Seriously? Not even close...
Even if they were forced to pay the full amount, 3.3 billion would not crash the company...
Probably unrelated, but I wouldn't be surprised if this is a move to lay a campaign talking point.
Coke must have done something to pi$$ off obama.
Ok, I'd bite.
You think the IRS just last week decided to extort more money from Coca - Cola because Buffett endorses Hillary as well as change the way it calculated taxes owed for thousands of other companies ?
Please connect the dots for me...
I’ve been a Pepsi person from childhood. I’m 68 now. When I traveled to Europe in 2006 and 2007, you couldn’t find Pepsi in any of the restaurants or stores. Coke was it.
Coke, the new tobacco.
Sooo,
Does Coke’sboard support the GOP?
Is that why this out of control frderal gub mint is after em?
No confidence in Anything obammy’t federal gub mint does.
Pepsi owns Frito-Lay who would their Doritos brand who made a rainbow Dorito in support of the homos.
Al sharpton owes back taxes, oh he’s black he gets a free ride
Warren Buffet must have neglected to “contribute” to Obama’s latest fundraiser.
So Coke musta pissed off ObaMao then...
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