Fiat reaches settlement with Italy tax agency over Chrysler value claim

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Fiat reaches settlement with Italy tax agency over Chrysler value claim
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Fiat Chrysler has reached a settlement with Italian tax authorities over the val...

FILE PHOTO: The logo of car manufacturer Fiat is seen in Zurich, Switzerland October 30, 2019. REUTERS/Arnd Wiegmann/File Photo

In December the carmaker challenged a claim by the Italian tax agency saying it had underestimated the value of its U.S. business by 5.1 billion euros after acquiring Chrysler. In comments by CFO Richard Palmer on fourth quarter results seen in a transcript, Palmer acknowledged the tax agency had issued an audit report, proposing to increase the taxable gain on the transfer of Chrysler to Fiat as part of the 2014 merger.

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