North Face Maker, IRS Test $505 Million Multinational Tax Ruling

The owner of The North Face and Wrangler will square off against the IRS in Tuesday oral arguments over whether property the company moved overseas should be taxed based on a one-time estimate of its future value or on actual annual profits.

The US Tax Court sided with the Internal Revenue Service in 2022 when it upheld a tax bill of nearly $505 million against TBL Licensing LLC, an apparel company owned by VF Corp., whose brands include The North Face, Wrangler, Lee, Nautica, and Vans. The US Court of Appeals for the First Circuit is hearing arguments in ...