Former HP Chairman Owes the IRS $100 Million
Former Hewlett-Packard (NYSE:HPQ) director Ray Lane reportedly owes the IRS $100 million in back taxes, confirming a rumor about the former executive that has been floating around for months.
The IRS is accusing Lane of trying to use Partnership Option Portfolio Securities to reduce his taxable income. Lane used the POPS, which have been mostly rendered ineffective due to government scrutiny, to report an improper $250 million loss for the tax year 2000.
All Things D got in touch with Lane about the issue via email. In the email, Lane claims he and the IRS have agreed to some terms, though he has not yet paid the money owed. “This is a 13 year old tax item, that has never been contested by me, only the Vandium partnership. When the IRS decided it was a tax shelter and I would be liable, I immediately settled,” Lane said in the email.