March 10 Caterpillar Inc said on Friday
it was compliant with tax laws, a week after federal law
enforcement officials raided three of the company's buildings in
connection with a probe into the heavy machinery manufacturer's
offshore tax practices.
The Internal Revenue Service (IRS) has challenged the
company's taxes for the years 2007-2012, the company said in a
statement on Friday.
"We disagree with the IRS' position, have cooperated for
requests for information," Caterpillar said.
A New York Times article on Tuesday said a report
commissioned by the United States government accused the company
of carrying out tax and accounting fraud. (nyti.ms/2lC69Gw)
"I believe that the company's noncompliance with these rules
was deliberate and primarily with the intention of maintaining a
higher share price. These actions were fraudulent rather than
negligent," said Leslie Robinson, an accounting professor and
the author of the report, according to the New York Times
Caterpillar said it had received the report on Thursday and
was reviewing it.
(Reporting by Arunima Banerjee in Bengaluru; Editing by Shounak