The Traderszone Network

Published in TZ Latest News 19 May, 2015 by The TZ Newswire Staff

Yahoo shares fall on worries of possible U.S. tax change on spinoffs

Yahoo Inc (YHOO.O) shares fell 7.6 percent on Tuesday on concerns that a possible change in U.S. tax regulations would affect Yahoo’s planned spinoff of its stake in Alibaba Group Holding Ltd (BABA.N). The change – discussed by a U.S. Internal Revenue Service (IRS) official in Washington – could complicate the plan announced by Yahoo in January to spin off its 15 percent stake in Alibaba tax free. Yahoo said in a statement that it understood the IRS statement was not specific to Yahoo’s planned spin-off of its remaining stake in Alibaba Group and its Small Business unit.