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US Tax Court rules Coca-Cola improperly moved profits internationally and must pay $3B tax bill

Nov 23, 2020 - Legal Monitor Worldwide

(JURIST) - The United States Tax Court has upheld two different Internal Revenue Service (IRS) adjustments against Coca-Cola, increasing the companys taxable income for the 2007-2009 years by a combined total of more than $9 billion and subjecting it to a tax bill of over $3 billion.

The case decided Wednesday concerns methodology for reallocating profits between Coca-Cola and its subsidiaries that sold syrup, flavorings, powder, and other ingredients. The dispute focused on the notion of ...