IRS reaches $388M deal with ex-Pistons owner's estate

AUBURN HILLS (AP) — The estate of former Detroit Pistons owner Bill Davidson has agreed to pay the Internal Revenue Service $388 million to settle the agency’s original claim for $2.8 billion.

The agreement on the lower claim figure was filed this week in U.S. Tax Court.

Davidson died in 2009 at age 86. He owned Auburn Hills-based Guardian Industries, a glass products supplier to the auto industry.

Davidson also bought several sports teams, including the NBA’s Pistons, the WNBA’s Detroit Shock, NHL’s Tampa Bay Lightning and the arena football team the Detroit Fury.

The IRS said Davidson’s accountants undervalued privately held Guardian stock placed in trusts for members of his family.