Companies Say They Can Ignore Cost of U.S. Rule Ending International Tax Maneuver

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Treasury Department rules would unravel companies’ 2018 tax maneuvers retroactively. Corporations are pushing back.

Consumer-products conglomerate Newell Brands Inc., facing $180 million to $220 million in taxes because of Treasury Department antiabuse regulations, isn’t recognizing those costs in its financial statement, contending the new rules aren’t valid.

The move presages a legal fight between companies and the government. Beyond tax revenue, the outcome may shape the government’s ability to implement some of the most sweeping provisions of the 2017 tax law while Congress remains deadlocked over technical fixes.

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