How to Stop Turning U.S. Corporations Into Tax Exiles
15th December 2015
THE Pfizer-Allergan deal is a travesty. Pfizer, which is based in New York, will move overseas by merging with Allergan, based in Ireland, in a maneuver known as a corporate inversion. The point isn’t to find corporate synergy. It is to leave behind our uncompetitive international tax system.
Not only is this the largest inversion in history, but it will also open the floodgates for other companies to leave the United States, further eroding our tax base, damaging our economy and costing many thousands of jobs.
This is not just me speculating. I have spoken to many chief executives who confirm they are planning to follow Pfizer’s lead. But while this inversion has set off a firestorm of public statements by our leading presidential candidates and other politicians, Congress continues to do nothing.
The United States has the worst corporate tax system in the world. In the world. And all the whining about corporations ‘not paying their fair share’ won’t persuade them to cut their own throats by remaining in the U.S.