Medtronic Will Pay CEO’s $25 Million Tax Bill on Merger
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Medtronic Inc. plans to pick up a $25 million tax bill for Chief Executive Officer Omar Ishrak, the cost of a special penalty imposed by Congress on executives who shift their company’s tax domiciles out of the U.S.
The company is also paying a $38 million tab for the rest of its top officers and directors, Minneapolis-based Medtronic said in a filing with U.S. regulators. The tax penalty arises from Medtronic’s plan to adopt an Irish address as part of its takeover of Covidien Plc.