Companies Seek Microsoft Treatment in California Tax Refunds (1)

Microsoft Corp.'s $94 million win at California’s Office of Tax Appeals should be declared a precedent for how the state taxes any company with income repatriated from abroad, major business interests told the office.

The OTA posted the opinion April 2 as non-precedential, meaning it applies only to Microsoft. The California Taxpayers Association, or CalTax, and a roster of other major groups are asking the OTA to change the opinion’s status so it would apply to companies in similar situations.

A large number of multinationals have been making arguments like those decided in Microsoft’s favor in their disputes with ...