Treasury Dept. tries again to stop companies from giving up U.S. citizenship for lower taxes - Chicago Tribune: "Currently, in order to escape some of the restrictions that Congress and Treasury have put in place to stop inversions, the shareholders of the U.S. company must own less than 60 percent of the combined company. Pfizer's shareholders would own 56 percent of the combined company, for example. But that is in part because Allergen has completed previous acquisitions of U.S. companies that have increased its size. The biggest was when the former Actavis bought Allergan.
Raw deal for AbbVie, but does anyone care?
Under the new rules, stock that Allergan has issued within the past three years to acquire U.S. companies wouldn't be included in the calculations.
Pfizer is reviewing the Treasury Department's announcement, Joan Campion, a company spokeswoman, told Bloomberg. "We won't speculate on any potential impact until the review is completed," she said.
Business leaders have said that companies have few choices as long as the U.S. corporate tax rate remains the highest in the developed world, 35 percent."
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