Microsoft allegedly owes the IRS 28.9 Billion US Dollars in back taxes.

Microsoft reported to the Securities and Exchange Commission (SEC) that the IRS fined it $28.9 billion, plus interest and penalties, for taxes associated to an audit between 2004 and 2013.

The tech giant reportedly transferred "at least $39 billion in U.S. profits" to Puerto Rico in 2020 in an effort to evade taxes, according to ProPublica and Fortune.

In response to inside the tax adjustmenit will pursue an appeal IRS, a procedure anticipated to take several years. Microsoft's corporate VP for worldwide tax and customs, Daniel Goff, stated in a subsequent blog post that the company would go to court "if the two parties "are unable to come to a direct agreement."

Microsoft attempted to get the release of more than 40,000 IRS records related to the case blocked by the Seattle federal court in January.

The tech company claimed that the IRS had taken extraordinary measures to keep its agency documents secret, but the court rejected this claim.

The Organization for Economic Development (OECD) recently published a proposition for a global digital taxation policy, and the news of Microsoft's unpaid taxes coincides with that announcement. Regardless of corporate domicile, the Multilateral Convention (MLC) framework would give taxing rights to the nations where businesses are operating.

So now you know what the fuss is all about.