WASHINGTON, March 24 A U.S. Senate subcommittee
known for investigating corporate tax avoidance said on Monday
it will hold a hearing on April 1 to examine the offshore tax
strategies of Caterpillar Inc, the world's largest
mining and construction equipment maker.
Witnesses at the hearing will include officials from
Caterpillar and Big Four accounting firm PricewaterhouseCoopers
LLP, which gave the company tax advice, the Permanent
Subcommittee on Investigations said in a statement.
The names of specific individuals slated to testify will be
announced on Friday, according to the statement from the
subcommittee, which is chaired by Democratic Senator Carl Levin
Levin is expected to release a report on Caterpillar's taxes
to coincide with the hearing. "The subcommittee will continue
its examination of the structures and methods employed by
multinational corporations to allocate income outside of the
United States," the panel statement said.
Peoria, Illinois-based Caterpillar has been cooperating with
the committee's investigation, a spokeswoman said on Monday.
"We look forward to a meaningful and respectful conversation
with the senators," said company spokeswoman Rachel Potts.
The subcommittee will probe advice that PwC gave Caterpillar
during the late 1990s and early 2000s in connection with a
corporate reorganization, a PwC spokeswoman said in a statement.
The reorganization recommended by PwC and an unidentified
law firm was "was fully compliant with U.S. international tax
laws," PwC spokeswoman Maggie O'Donovan-Bolton said on Monday.
(Reporting by Patrick Temple-West; Editing by Kevin Drawbaugh
and Ken Wills)