Forbes reported that based on a filing in the U.S. District Court for Connecticut, General Electric filed suit seeking a $658 million federal tax refund.

Forbes said the amount represents the $439 million in taxes and $219 million in interest GE paid in 2010 after IRS auditors disallowed a $2.2 billion loss it claimed from the 2003 sale of a small subsidiary, ERC Life Reinsurance to Scottish Re Group for $151 million.

Forbes noted that the dispute apparently centers on an internal restructuring of GE’s insurance business in December 2002 that manufactured $1.8 billion of the claimed $2.2 billion loss.

To read the entire Forbes report, click here.