The Wall Street Journal (WSJ) reports that Amgen (AMGN) is in trouble over its low tax rate of 12.5% compared to the industry average of 18% in the last decade. While the low tax burden is attributed to the company's operations in low-tax haven Puerto Rico, the Internal Revenue Service (IRS) is hearing none of it. The company is entangled in a fierce battle over back taxes and penalties that could rise to $10.7 billion. Amgen vs. IRS Tax According to Amgen’s press release, it confirmed receiving a notice of deficiency from the IRS related to its allocation of profits between the U.S. and Puerto Rico entities, in April.
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