A federal appeals court yesterday shot down a U.S. Tax Court decision in a longrunning transfer prcing dispute between Medtronic (NYSE:MDT) and the Internal Revenue Service. The IRS maintains that Fridley, Minn.-based Medtronic owes $1.4 billion in back taxes for transfer pricing arrangements among the company’s various units during the tax years 2005 and 2006. In transfer pricing, income is […]
U.S. Internal Revenue Service (IRS)
Boston Scientific, IRS finalize $608m settlement over transfer pricing beef
Boston Scientific (NYSE:BSX) and the U.S. Internal Revenue Service yesterday finalized their settlement of a tax beef dating back to the $26 billion acquisition of Guidant in 2006, which would see the company pay nearly $610 million in taxes and interest. In transfer pricing, income is allocated among branches in different countries. It’s a legal tax maneuver companies can […]
IRS won’t enforce penalties on medical device tax
The U.S. Internal Revenue Service yesterday said it won’t enforce penalties on companies making late payments on the medical device tax for the first three months of this year. The 2.3% excise tax on U.S. medical device revenues was in effect for two years before a two-year moratorium went into effect for 2016 and 2017. It went […]
IRS pursues $1.4B tax case against Medtronic
The U.S. Internal Revenue Service wants an appeals court to give it another bite at the $1.4 billion apple it alleges it’s owed by Medtronic (NYSE:MDT). Last summer, a federal tax judge found for the Fridley, Minn.-based company in its lawsuit against the IRS over the dispute, which involves “transfer pricing” among the company’s various units during the […]
Report: IRS agrees to slash Medtronic’s $1.4B transfer pricing tax tab by an order of magnitude
The U.S. Internal Revenue Service reportedly agreed to drastically slash the amount it claims Medtronic (NYSE:MDT) owes on loans between its subsidiaries, from a potential $1.36 billion to just $14 million. Last summer, a federal tax judge found for the Fridley, Minn.-based company in its lawsuit against the IRS over the dispute, which involves “transfer pricing” among the […]
Boston Scientific to settle IRS beef for $275m
Boston Scientific (NYSE:BSX) said it agreed yesterday to pay the U.S. Internal Revenue Service $275 million plus interest to settle a tax beef dating back to its $26 billion acquisition of Guidant in 2006. The settlement would put to bed a transfer pricing dispute with the IRS over the agency’s tally of transfer pricing between domestic and foreign Guidant […]
Tax court hands Medtronic a win in $1.4B IRS case
A federal judge yesterday found for Medtronic (NYSE:MDT) in its lawsuit against the IRS over a $1.36 billion tax bill. The dispute involves “transfer pricing” among the company’s various units during the tax years 2005 and 2006. The tax bureau claimed Medtronic owed income tax of $548.2 million for 2005 and $810.3 million for 2006; the […]
Medtronic inks $221m IRS settlement
Medtronic (NYSE:MDT) agreed to pay out up to nearly $221 million to settle a tax dispute with the U.S. Internal Revenue Service that it inherited when it bought Covidien last year. The IRS dunned Covidien’s corporate predecessor, Tyco International, in June 2013, disallowing deductions it took from 1997 to 2000 for some $2.8 billion in loans made […]
Speculation mounts about possible Stryker offer for Smith & Nephew | Medtech Wall Street news for the week of December 1, 2014
Medtronic expects to free up to $4B after IRS beef is settled
U.S. Tax Court denies IRS request in Medtronic case
The U.S. Tax Court has denied a request by the Internal Revenue Service that it issue a partial summary judgment concerning Medtronic’s Cayman Islands subsidiary in an ongoing tax case against the medical device titan.
