Welcome

Facebook Takes $1B Tax Hit After Altera Cost-Sharing Loss (1)

July 24, 2019, 9:36 PMUpdated: July 24, 2019, 11:00 PM

Facebook Inc. incurred a more than $1 billion tax expense thanks to an unfavorable appeals court decision in a case involving Intel-owned Altera Corp.'s cost-sharing arrangements.

The social media giant recorded a cumulative income tax expense of $1.11 billion in the second quarter of 2019, the company said July 24 in a financial statement to the Securities and Exchange Commission.

The Altera ruling, in conjunction with an additional $2 billion expense accrued related to a $5 billion settlement with the Federal Trade Commission, increased Facebook’s effective tax rate for the quarter by 30 percentage points, the company said. ...

To read the full article log in.

Learn more about a Bloomberg Tax subscription.