Microsoft rejects IRS request for $29 billion in additional payments

Microsoft has been requested by the US Internal Revenue Service (IRS) to pay a total of $28.9 billion (approximately 4.31 trillion yen) in penalties and additional interest on the proposed adjustment for tax years 2004 to 2013. revealed that he had received it. Microsoft has indicated that it does not agree with this adjustment notice and will object to it.

SEC Filing | Microsoft Corporation

An update on our IRS tax audit - Microsoft On the Issues

IRS says Microsoft owes an additional $29 billion in back taxes
https://www.cnbc.com/2023/10/11/irs-says-microsoft-owes-an-additional-29-billion-in-back-taxes.html

Microsoft said it has been working with the IRS for more than 10 years to investigate the treatment of income and expenses for tax years beginning in 2004.

The result is a Notice of Proposed Adjustment sent to Microsoft by the IRS, requiring Microsoft to pay $28.9 billion in taxes, penalties, and interest for the years under review.

Microsoft says the IRS' proposed adjustments are not final, do not reflect taxes paid by Microsoft under the Tax Cuts and Jobs Act, and could reduce final taxes by up to $10 billion. has made it clear that it disagrees with the IRS' Notice of Proposed Adjustment and plans to challenge the notice through an administrative appeal.

'We believe that we have always followed IRS rules and paid the taxes owed in the United States and around the world,' Microsoft said in a statement. Since 2004, we have paid more than $67 billion (about 10 trillion yen) in taxes to the United States.'

Microsoft's administrative appeal is expected to take several years, rather than being completed within a year.