Anil Vazirani Scottsdale Investment Advisor shares AIG settles lawsuit for more than $400 million
American International Group (AIG) has settled a tax shelter lawsuit, related to seven cross-border transactions made during the mid-1990s – transactions designed to generate bogus foreign tax credits, a US attorney said.
According to the acting US attorney for the Southern District of New York, AIG has agreed to pay a 10% penalty and disallow more than $400 million in foreign tax credits.
The settlement ends a US investigation into the tax shelters; prosecutors said those shelters allowed AIG to create phony foreign tax credits and reduce its taxes in the US. In 2009, AIG filed a suit seeking a refund based on claimed credits for 1997. But the federal government determined that the transactions “lacked any meaningful economic substance” or legitimate business purpose.
“AIG created an elaborate series of sham transactions that were designed to do nothing — and in fact did nothing — other than generate hundreds of millions of dollars in ill-gotten tax benefits for AIG,” said US attorney for the Southern District of New York Audrey Strauss.
Bloomberg reported that the settlement deal was approved last Thursday by US District Judge Louis Stanton.
“After already reaching and disclosing our January 2018 agreement in principle regarding these transactions that date to the 1990s, we are pleased to put this longstanding matter behind us,” an AIG spokesperson said in an email statement.
Anil Vazirani is president of Secured Financial Solutions, independent insurance advisor investment advisor rep with a fiduciary obligation and in the financial services industry since 1994. A+ rating with the Better Business Bureau for over a decade and a half, members in good standing with the National Association of Insurance and Financial Advisors.
Dial 1-800-957-5604 x 200 and set up a complimentary strategy session to understand what your goals are, understand what objective you’re trying to accomplish, your risk tolerance, and let us show you how to reduce your investment fees from stocks, bonds and mutual funds down to one point, or five percent when you work with our investment advisory platform. Dial 1-800-957-5604 x 200, and on the web at: DreamRetire.com
Anil Vazirani Integrity and Professional Background – Click Here
RETIRE AND STAY RETIRED,
SAFE, SMART, AND SECURE!
Call today for a Complimentary
Strategy Session: 1-800-957-5604 x 200
Secured Financial Solutions
14301 North 87th Street, Suite # 216, Scottsdale, AZ 85260