RJ and Makay

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The Internal Revenue Service (IRS) is cracking down on companies that shift profits from country to country to lower their tax obligations, according to a Reuters article today.  The practice, known as “transfer pricing,” led the agency to hire Samuel Maruca last spring in the newly created post of transfer pricing director.  To combat the practice, Maruca has brought in specialists from Big Four audit firms as well as experts from law firm Mayer Brown and boutique consultancy Horst Frisch.

It's tax time again, the time of year a lot of us feel more than a little resentment about the chunk of our earnings Uncle Sam grabs for America's coffers. Of course, as with anything else, ranging attitudes about taxes is all a matter of perspective. Perspectives differ, especially between the half of the country paying income taxes and the half that virtually don’t.

According to the latest estimates from the Organization for Economic Cooperation and Development (OECD), a Paris consortium that tracks financial conditions in 34 nations, 24% of the U.S. economy as measured by gross domestic product (GDP) goes to taxes collected by all levels of government.