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Carl Levin

Solving the inversion crisis: How the U.S. can keep companies at home

Solving the inversion crisis: How the U.S. can keep companies at home

Big controversies often arise from big numbers, and on the surface the cost in U.S. tax revenue from the corporate tax avoidance scheme known as "inversion" looks like a big number: potentially $20 billion over 10 years, according to a congressional estimate last year.

But since the corporate income tax is projected to bring in some $4.5 trillion over the same period, inversions might cost less than half a percent of corporate tax receipts.

That suggests that the real issue for U.S. lawmakers shouldn't be the particular method corporations use to avoid...

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