VZ · 10-Q · 2026Q2 · Full report
Tax Audit Exposure
VERIZON COMMUNICATIONS INC · 2026-07-31 · Importance 37 · Surprise 32 · From source text
Verizon reported $2.5 billion of unrecognized tax benefits at June 30, 2026, down from $2.6 billion at December 31, 2025. After-tax interest and penalties related to these benefits were $705 million, compared with $751 million at year-end 2025. Verizon and its subsidiaries file returns in U.S. federal, state, local and foreign jurisdictions and are under audit by the Internal Revenue Service and multiple state and foreign tax authorities for various open tax years.
Key facts
- Unrecognized tax benefits were $2.5 billion at June 30, 2026 and $2.6 billion at December 31, 2025; interest and penalties related to unrecognized tax benefits were $705 million (after-tax) at June 30, 2026 and $751 million (after-tax) at December 31, 2025. source
- Verizon Communications Inc. and/or its subsidiaries are under audit by the Internal Revenue Service and multiple state and foreign jurisdictions for various open tax years. source
Impact estimates
| metric | direction | stage | expected | basis |
|---|---|---|---|---|
| liability | positive | realized | +0.0% | Unrecognized tax benefits were $2.5 billion at June 30, 2026 and $2.6 billion at December 31, 2025; interest and penalties related to… |