Corporate Tax Inversions: Fallout from the Globalization Juggernaut
Market Intellect from Global Markets Intelligence
The GMI group at S&P Capital IQ primarily sees corporate inversions as a consequence of the longstanding and overarching economic trend toward globalization and free trade rather than an effort to simply avoid paying taxes on non-U.S. sales when proceeds are repatriated to the domestic parent company.
- Corporate tax inversions have recently reemerged as one of the most controversial subjects in economic policy. The White House and congressional lawmakers are clamoring for a solution to what some see as an unpatriotic attempt to avoid paying U.S. taxes.
- The GMI group at S&P Capital IQ analyzed cross-border M&A from the past several decades and found that the number of tax inversions has risen in recent years.