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Inversion deals come with capital gains tax headaches

Lately, we have been following the corporate maneuvers designed to reduce U.S. corporate tax burdens. Unlike the recent Kinder Morgan move that will only affect some investors, inversion deals will bring broader unwelcome tax surprises for legacy investors. Medtronic’s acquisition of Covidien provides an example of how an inversion deal […]

Tax Controversy 

Obama Seeks to Discourage Inversions

The Obama administration is exploring a variety of options in the tax code in an attempt to discourage companies from reincorporating overseas for tax purposes otherwise known as ‘inversion’. Each possible weapon the administration is considering has its own pros and cons, with no decision having been made thus far. […]

Legislation

Tax Breaks for Major Oil and Gas Companies

With oil and gas companies spending billions of dollars on hydraulic fracturing the country’s shale formations, they are discovering the advantages of deferring their taxes year after year. Within the U.S. tax code are incentives that provide for drilling investors a way to put off paying taxes, as long they […]

IRS

Tax Preparer Sentenced to 2 ½ Years in Prison

A Durham, North Carolina woman is in hot water after being convicted and sentenced on charges that she falsified hundreds of thousands of dollars’ worth of tax returns in what seems to be an elaborate scheme that took place while she worked for a tax preparation business. Tasha Renee Smith […]

Tax Crimes

Hedge Funds Bet on Inversions

Hedge funds are preparing to capitalize on the wave of takeover deals designed to lower taxes for U.S. acquirers. While President Barack Obama has attempted to discourage the practice known as “inversions,” in which a U.S. firm buys a foreign company and moves overseas in order to avoid higher taxes, […]

Tax Evasion

U.K. Crowned Leader for Inversion Seekers

Inversion is by no means a new strategy for big businesses in avoiding high corporate taxes. However, the country to which companies are now moving is the dark horse known as the United Kingdom. For decades, Ireland was the destination of choice for inversion plans for U.S. companies, but after […]

Tax Evasion