The IRS Decided to Get Tough Against Microsoft. Microsoft Got Tougher.

4/21/2020

This article from ProPublica investigates the ongoing battle between the IRS and Microsoft over offshore profits and tax evasion. It highlights how the IRS decided to intensify its scrutiny of Microsoft's transfer pricing practices, suspecting that the company was improperly shifting profits to low-tax jurisdictions. However, the article reveals that Microsoft responded by deploying its vast resources and mounting a vigorous legal defense. It delves into the intricate details of the legal maneuvering and showcases how the case reflects broader issues of corporate tax avoidance and the challenges faced by tax authorities in enforcing tax compliance among multinational corporations.

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