The Obama administration is trying to stop corporate "inversions." A closer look at how they work, and what the Treasury is doing about them.
In the midst of a wave of U.S. companies including Burger King, Medtronic and AbbVie moving to foreign locales, the Treasury Departmentannounced Monday new rules to make it harder for a corporation to save on taxes by changing its home address. For many Americans, the idea that a company can reduce what it owe to Uncle Sam just by leaving is frustrating, but also, frankly, a bit baffling. Here are some answers: