Even as Washington rails against AIG’s bonus giveaway, the insurer is quietly suing the government for $306 million in tax payments, the New York Times reports. AIG’s case hinges largely on its use of offshore tax havens, including one entity that handles executive compensation. It also says it overpaid the government after a 2004 accounting scandal forced it to restate records.
Other parts of the case are less flashy, involving carry-backs, refund claims, and other tax-related payments. The Internal Revenue Service denied the company’s initial claim last year, so now the company is suing its majority shareholder—the US government. “AIG is taking this action to ensure that it is not required to pay more than its fair share of taxes,” said a spokesman.