Ford Motor Company (NYSE:F) Loses Battle Against IRS
Dallas, Texas, 10/02/2014 (ustrademedia) – Ford Motor Company (NYSE:F) was handed another legal loss in its long fight to regain excess monies it had paid to Internal Revenue Service. The court case relates to the car maker’s suit against the Internal Revenue Service lodged in 2008. The car maker is alleging that the IRS did not pay back the firm interest which had accumulated on the cash bonds it had deposited with the revenue agency. The time frame of the alleged allegation is between 1983 and 1994.
Appeal Turned Down
The appeals panel has ruled that the cash bonds were not advance payments, but rather security that the car maker had provided for any underpayment of taxes. Ford Motor Company (NYSE:F) had in its appeal tried to make a case that IRS pays taxpayers interest on advance tax paid, even as the final decision on the actual tax liability is arrived at. The judicial panel which looked into the appeal has indicated that, “No matter how we decide this case, taxpayers will have reason to complain about inconsistencies in the IRS’s practices.” The panel goes on to express its helplessness in its ability to set right the wrong suffered by Ford Motor Company (NYSE:F) in this cash bond deposit case.
The appeal had come up in front of the Cincinnati, U.S. Court of Appeals for the Sixth Circuit based on a ruling by Supreme Court in 2012. The car maker’s spokesperson Whitney Eichinger expressed disappointment at the outcome of the appeal. She also indicated that their legal team is exploring alternate options which it could pursue to challenge the court ruling. Ford Motor Company (NYSE:F) all along has maintained that IRS was duty bound to pay back interest on the cash bonds from the date on which the deposits were re-designated as advance payments