NEW YORK (AP) -- Sprint Corp. on Monday said the Securities and Exchange Commission has dropped its investigation into Sprint's collection and payment of state and local sales taxes.
The SEC issued a subpoena to Sprint a year ago about its tax collections and payments, following a suit filed by the New York Attorney General.
In a regulatory filing Monday, Sprint said the SEC notified the company on July 2 that it was closing its investigation and did not intend to recommend an enforcement action.
The suit by New York seeks $100 million in unpaid taxes and triple damages. In July, the New York State Supreme Court refused to dismiss the case. Sprint said it will appeal.
The New York AG argues that Sprint has improperly kept 25 percent of its monthly access fees for mobile calling plans from being taxed based on the theory that it doesn't owe taxes on the interstate portion.
- Company Legal & Law Matters