More Companies Leave US For Lower Taxes
More companies than ever are abandoning the US for nations with lower taxes.
That's according to a new analysis by the Congressional Research Service.
It found 47 companies relocated to home bases overseas to take advantage of lower rates in the past 10 years through a merger process known as inversion.
To qualify for the lower taxes, a company must do more than simply set up shop overseas and change its address.
It must first merge with a company in the lower-tax country.
Then it must do at least a quarter of its business overseas.
Or it must give the owners of the foreign company at least one-fifth ownership of the newly merged company.
Only 29 companies used the inversion process during the previous two decades.