GE Accused of Misleading U.K. Tax Agency in $1 Billion Dispute
- GE denies hiding purpose of transactions during 2005 talks
- Company says tax agency trying to change arguments mid-case
Photographer: Aaron M. Sprecher/Bloomberg
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General Electric Co. misrepresented transactions with an Australian subsidiary to secure a U.K. tax deduction, British authorities allege in a case that could cost the company $1 billion.
Her Majesty’s Revenue and Customs is arguing in a London court that GE knowingly failed to indicate the purpose of the Australian investment during tax settlement talks in 2005 and that it made a “deliberate decision” to provide some information that was “simplified” and “misleading.”