Facebook Not Liking The US Government
Uncle Sam is expected to send Facebook a bill for $3 billion up to $7 billion in back taxes. According to Facebook, this bill is related to a previously disclosed review of the pricing of assets the social network transferred to its Irish subsidiary.
In a filing last Friday, the company says it got the notice from the IRS about the review. It went on to explain that the notice applies to the 2010 tax year only, however, the IRS indicated it will also apply its position for tax years subsequent to 2010.
Facebook states when it becomes final, that it will challenge the assessment by the IRS in US Tax Court. In their words, "We do not agree with the position of the IRS and will file a petition in the United States Tax Court Challenging the notice."