Monday, November 7, 2011
Two companies with strong ties to Des Moines have lost their fights to avoid paying more than $100 million in taxes to the federal government.
Principal Life Insurance and Wells Fargo were part of two separate but similar efforts to claim unearned tax credits through an elaborate series of cash transactions disguised as investments, a Des Moines Register review of thousands of pages of court transcripts, exhibits and other records shows.
- Principal Life Insurance Co. v. United States, No. 4.08-cv-00082 (S.D. Iowa Sept. 30, 2011)
- Des Moines Register, Ruling Costs Principal $21 Million
- Wells Fargo Corp. v. Unites States, No. 07-3320 (D. Minn. Sept. 30, 2011)
- Des Moines Register, Wells Fargo Loses $80 Million Case
- Tax Update Blog, IRS Defeats Principal, Wells-Fargo Tax Shelters