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 ...
Now Coke knows how Bundy felt, down on the ranch, when a government agency just decided to look at the law another way.
I get your point, but it’s off-base.
The Boston Tea Party wasn’t about a corporation and I’m not about to embrace a corporation which employs a department solely for the purpose of operating to pay the least amount of tax.
There will be those that argue that it’s high corporate tax rate that causes corporations to run overseas and evade taxes. But the fact is that in being permitted to do so, the corporations, the shareholders and the owners have no motivation to change the government most of us agree is the principal problem. Thus, without empowerment by all of us ‘little people’, we have a self-perpetuating nightmare. Free-trade; what a joke.
No, I don’t want a ‘Coke’ party. Frankly, Coke is part of the reason we have an epidemic of modern disease and I would very much like to see this case be litigated in open court, not settled behind closed doors.
If we get Trump and he doesn’t start the process of correcting this train wreck, there is only one outcome...the only question being what the trigger(s) will be.
You are the first person I have ever seen make the “Make Boxer work harder” connection. Every day of my wage slave life I identify with that horse... and it’s at the point that I wait for the meatwagon to roll down the farm lane and haul me off to the glue factory.
I had taken that into consideration but as you said high taxes and other litigation (obamacare and the epa) are causing companies to go elsewhere.
Do you think Trump, as the owner of The Trump Organization will do what is best for us, and if so, what litigation would you like to see in addition to repealing Obamacare and severely restricting the epa which I personally do not want to see obliterated because EVERY organization needs some oversight. We are all fallen.
Oh, it is Buffet who is getting away with not upgrading the tank cars.
Most tank cars are not railroad owned... but leased. The tank car rules are onerous at best... and aimed to harm railroads and their stockholders. Regardless, these rules will be jammed up their ass and compliance, including refitting all these cars with expensive electrically-controlled braking systems... which does not do a single thing to prevent the derailments that have happened in the past, will be forced... under the guise of “Safety”. Buy tank car manufacturer stock.
Let me put it bluntly:
I, along with others, have been parroting ‘vote non-incumbent’ for a number of years. Rationale is sound, given that it is establishment politicians that are either already in the game or easily bought.
Trump has his own $$. Yes, he falls on both sides of the aisle, but he’s non-establishment, can’t be bought and has stated his desire to reverse this train-wreck.
Bonus: People like him and he’s riding the wave.
Solely on the bases of elect-ability and anti-establishment...if this were a high stakes poker game, on whom would YOU go ‘all-in’??? (literally what we’re facing, isn’t it?)
Frankly, it is my sincere hope that those other less-popular (Conservative) figures are reaching out to Trump’s people right now; it’s possible that we’re about to see the most awesome cabinet in the history of this country.
But...it’s still ‘early’. Anything can happen at this point.
I’m sure liberal, progressive, democrats or whatever they’re calling themselves right now, are totally offended by Animal Farm, especially any references to Boxer. There’s no tax that they don’t like.
I’m not talking campaign so I guess no one really wants to answer questions about what he will do. I like him but Cruz is still #1 for me but I will be voting in Nov come what may.
Apparently Coca Cola didn’t get their political contributions quite right.
sorry about the double buts. sleep deprivation
I’m not sure I understand your logic. Buffet’s company owns Coke, or at least a portion. Buffet is a Democrat, so why would he or his company be punished for voting dem unless it of course is the wrong dem, which might be one other reason for not jumping in too early with an endorsement.
Ageed on Cruz, but he wont beat a Dem. Not now, unless he has a helluva changeup routine upcoming. He should’ve fired his campaign director weeks ago...
pour it on your windshield to remove road grease.
(Just being silly).
Agree completely with your analysis... thanks.
“remembered that the attack on the coal industry is an attack on religious gun toting citizens.”
Interesting connection...
Everyone needs to read “Animal Farm” again, or the first time. It is a very easy read, and not long.
We are living it now!
Yes, I do. The IRS has become a weapon of the state if you haven’t noticed. They have a tax file on all 500 S&P co’s. The minute a CEO steps out of line, out comes the file, putting his bonus in jeopardy. Chicago style politics.
Punished for endorsing Hilary publicly. Obama wants Biden. Have you not noticed rhe Dem civil war going on? Buffett doesn’t show up on TV unless there’s a reason.
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