According to Bloomberg, bankrupt exchange FTX has reached a settlement with the Internal Revenue Service (IRS) regarding its $24 billion tax issues. Previously, Zombit reported that the IRS claimed FTX and its affiliates owed approximately $24 billion in taxes from 2018 to 2022, based on its estimates. This dispute has resulted in a deadlock in the restructuring plan, as tax collection takes precedence over ordinary debt claims, meaning the restructuring plan cannot proceed until the tax issues are resolved.
Under the latest settlement agreement, the IRS will receive a priority claim of $200 million, which will be paid within 60 days after the company’s proposed restructuring plan takes effect. Additionally, there will be a secondary claim of $685 million, which will be paid after customers and other creditors have been compensated and there is leftover available funds.
In the documents submitted on Monday, FTX stated that
