Steve Ballmer, the former Microsoft CEO has been out of the spotlight, at least as far as the technology world is concerned, but he has just made the news as the Internal Revenue Service has gone after him.
Along with nine other Redmond executives.
He has been called to court to provide information about some of the tax dodging practices that Microsoft apparently turned to while he held the top spot at the company. Transfers, it is said, were made to subsidiaries in Puerto Rico and Bermuda.
And these generated billions of dollars of impact on taxable income between 2004 and 2006.
The Seattle Times has the full lowdown on this, but Microsoft, obviously, does not allow executives to testify without an agreement. The software titan is already in discussion with the IRS for allowing these high ranking officials to testify, but not before an agreement on the terms of interview are defined.
That is because the company wants to avoid any potential problems that could be caused by these former executives being questioned by the IRS.
However, a company spokesperson made it clear that:
“As a global business, Microsoft adheres carefully to the laws and regulations of every country in which we operate.”
This is not the first time that Microsoft is accused of tax dodging using overseas subsidiaries, even though the company has always vehemently denied these claims.