[mordero]

Fines or penalties paid by a company for violation of a law are not deductible for federal taxes.

Section 162(f) -> http://www.law.cornell.edu/uscode/26/usc_sec_26_00000162----...

IRS Publication 535 (2009) (Although not authoritative, it provides examples) -> http://www.irs.gov/publications/p535/ch11.html