Federal Case Study

For-Profit Education Center

The company is a for-profit education company traded on the NASDAQ with over $3.6 billion in revenue and approximately 44,000 employees. Current enrollment in all its subsidiaries is more than 269,000 students.
It settled an audit in 2014 covering the years 2006 through 2008 with the IRS. After the completion of the audit, the company hired a Big 4 accounting firm to conduct an interest study to determine the amount of interest might available to be claimed.
Shortly thereafter, the company entered into a CAP agreement with the IRS for future years. Ashland contacted the company and suggested they be allowed to follow the Big 4 and conduct a comprehensive Interest Recovery Review. The company agreed to allow Ashland to conduct the review and wanting to recover any interest available to be claimed prior to entering the CAP program. As is the case with many clients, Ashland was successful following another consultant in doing an Interest Recovery Review.

The Final Results: Interest recovery of $388,000