Saturday, January 30, 2016

Corporate Tax Dodgers Don't Bother Congress

Another US multinational corporation just turned itself into an Irish corporation.  It took this step primarily to avoid US taxes.  Ireland is one of several nations which offers low corporate tax rates to encourage MNC's to relocate.  Johnson Controls inversion to Ireland is particularly egregious.  It benefited from the bailout of the auto industry and from the state of Michigan which helped it out during the automobile crisis.  Don't bother to ask your Republican congressman to do something about corporate inversions.  They will respond by criticizing corporate tax policy. Those policies may need some changes but they have done nothing about it.  They prefer to complain about high taxes.

Since Congress will do nothing to stop corporate inversions, its up to US citizens to take actions.  This article contains many suggestions that citizen groups and government agencies might use to make corporate inversions more painful for US MNC's. 

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