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Amazon (AMZN -0.3%) is fighting with the IRS in court over a $234M tax bill: the company argues...

Amazon (AMZN -0.3%) is fighting with the IRS in court over a $234M tax bill: the company argues the IRS is overestimating the value of the intangible assets on its balance sheet when calculating taxes on cash transfers between Amazon proper and its European subsidiaries. The dispute comes as Amazon and other U.S. companies are closely scrutinized by European regulators over their local tax payments.
Comments (5)
  • Jason Tillberg
    , contributor
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    Big or small, the tax man a come'th for us all.
    15 Jan 2013, 01:08 PM Reply Like
  • bdy
    , contributor
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    Normally this would be a negative for a company with such low margins but since this is AMZN, this is very bullish lol
    15 Jan 2013, 01:10 PM Reply Like
  • ReligiousWacko
    , contributor
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    AMZN's core competence is really tax cheating ..
    15 Jan 2013, 01:13 PM Reply Like
  • PSalerno
    , contributor
    Comments (3488) | Send Message
     
    You cannot have both: overvaluing your asset with shareholders and undervaluing with IRS.
    15 Jan 2013, 01:23 PM Reply Like
  • krk
    , contributor
    Comments (821) | Send Message
     
    And not just the IRS.

     

    In Nov-2012 was reported that it received a $252 million demand from the French tax authorities for back taxes, interest and penalties in relation to "the allocation of income between foreign jurisdictions" during 2006 through 2010.
    http://yhoo.it/W5G4ax

     

    In Apr-2012 was reported that British authorities are investigating why Amazon's Luxembourg-based Euro subsidiary paid no taxes on its 2011 U.K. sales, which totaled over $5.3B. Amazon's U.K. ops paid less than $5M in taxes from 2003-2011, and that its corporate structure allows it to charge a VAT of just 3% on local e-book sales, rather than the 20% charged by British rivals.
    http://bit.ly/Kmt7an
    15 Jan 2013, 03:25 PM Reply Like
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