Bloomberg’s Firm Fights IRS in Court During White House Bid

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Bloomberg’s Firm Fights IRS in Court During White House Bid
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Michael Bloomberg’s company is embroiled in a tax dispute with the IRS as the former New York City mayor runs for president

WASHINGTON—Michael Bloomberg’s company is embroiled in a tax dispute with the government he wants to lead.

The case pits the Internal Revenue Service against Bloomberg LP over the financial-data company’s claim that it qualifies for a deduction for domestically produced software. The lawsuit in U.S. Tax Court centers on whether Bloomberg leases or licenses its flagship product as software to customers, which would allow it to get the deduction, or provides an online service, which wouldn’t.

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