Ex-HP boss Ray Lane reportedly in $100 million spat with IRS

The former chairman of Hewlett-Packard is appealing an IRS claim that his partnership was an improper tax shelter, according to a Bloomberg report.

HP former Chairman Ray Lane
HP former Chairman Ray Lane Hewlett-Packard

The last six months haven't been kind to Ray Lane.

According to a Bloomberg report, the former chairman of Hewlett-Packard has been fending off an IRS case putting him on the hook for a $100 million in taxes, all while he was trying to steer HP through snafus that culminated in his departure from the board.

Tax-court documents show the IRS in December found that Lane improperly used his partnership, Vanadium Partners Fund LLC, to claim $251 million in losses to offset income. Lane has appealed, disputing the agency's claim that his fund lacked legitimate business purpose.

Lane, who is now a partner emeritus at venture-capital firm Kleiner Perkins Caufield & Byers, had a tumultuous tenure at HP, which ended with his resignation in April .

During his time as chairman, HP acquired Autonomy for $11 billion but then booked $8.8 billion in charges as it swallowed the diminished value of the asset. HP later said Autonomy's accounting was suspect.

About the author

Joan E. Solsman is a senior writer for CNET focused on digital media. She previously wrote for Dow Jones Newswires and the Wall Street Journal. She bikes to get almost everywhere in New York City and has been doored only once.


Discuss Ex-HP boss Ray Lane reportedly in $100 million...

Conversation powered by Livefyre

This week on CNET News
Hot Products
Trending on CNET

Tech Tip

Know how to save a wet phone?

It's not with a dryer and it's not with rice. CNET shows you the secret to saving your phone.