Medtronic to Fork Over $221 Million to Settle Tax Dispute with the IRS
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 between 3 former Tyco divisions.
The tax bureau said back then that the companies owed $914 million to the U.S. Treasury – plus another $154 million in penalties.
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 between 3 former Tyco divisions.
The tax bureau said back then that the companies owed $914 million to the U.S. Treasury – plus another $154 million in penalties.