US business blasts Treasury move against tax inversions
First published in AFP newswire, 24 September 2014
US business groups on Tuesday blasted as counter-productive the government's moves to curb tax inversion mergers that allow a company to escape US taxes. But analysts said the rules could prove only partly successful at stemming corporate flight, and businesses involved in inversion deals had mixed reactions.
For instance, they can still benefit simply by rebasing into jurisdictions which offer a lower corporate tax rate than the maximum 35% in the United States.
The Treasury is nevertheless still asserting its right to tax the worldwide income of US companies, which many other countries do not do.
Your media contact for further queries is:
Barnaby Fry, MHP
T. +44 (0)203 128 8215
Quality tax advice, globally