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This Lawsuit Could Cost Vanguard Investors Billions

Posted: Wed Apr 13, 2016 2:01 pm
by MachineGhost
[quote=http://fortune.com/2015/12/07/vanguard-billions-taxes/]Vanguard investors might soon have to pay billions more in fees a year.

The popular mutual fund company is known for its low cost index funds. But a whistleblower suit claims that one of the reasons that its index funds are so cheap has allowed the company to avoid tens of billions of dollars in taxes in the past eight years alone. The suit claims that Vanguard owes $35 billion in back taxes, penalties and interest since 2007.[/quote]

Re: This Lawsuit Could Cost Vanguard Investors Billions

Posted: Wed Apr 13, 2016 2:07 pm
by murphy_p_t
The article said Vngrd is a for-profit company...is this true? I thought its a coop, owned by the shareholders of its funds...

Re: This Lawsuit Could Cost Vanguard Investors Billions

Posted: Wed Apr 13, 2016 3:23 pm
by dualstow
Discussed at bogleheads long ago. They didn't seem too worried about it.