Corporate Expatriation, Inversions, and Mergers : Tax Issues (R43568) / Donald Marples.

Format:

Book

Author/Creator:

Marples, Donald, author.

Language:

English

Subjects (All):

Corporations--Finance--United States.

Corporations.

Physical Description:

1 online resource

Place of Publication:

Washington, D.C. : Congressional Research Service, 2014.

Summary:

News reports in the late 1990s and early 2000s drew attention to a phenomenon sometimes called corporate "inversions" or "expatriations": instances where U.S. firms reorganize their structure so that the "parent" element of the group is a foreign corporation rather than a corporation chartered in the United States in order to reduce the effect of the U.S. corporate income tax. These corporate inversions apparently involved few, if any, shifts in actual economic activity from the U.S. abroad, at least in the near term. Bermuda and the Cayman Islands-countries with no corporate income tax-were the location of many of the newly created parent corporations, and tax savings were the principal objective.

Notes:

Description based on online resource; title from PDF title page (Congressional Research Service, viewed June 7, 2023).