Stop Corporate Inversions Act of 2021
- Last Action
- 5/4/2021
Actions
- 2021-05-04Referred to the House Committee on Ways and Means.
- 2021-05-04Introduced in House
- 2021-05-04Introduced in House
CRS Summary
As of 2021-05-04 (00)
Stop Corporate Inversions Act of 2021
This bill revises rules for the taxation of inverted corporations (i.e., U.S. corporations that acquire foreign companies to reincorporate in a foreign jurisdiction with income tax rates lower than the United States). The bill provides that a foreign corporation that acquires the properties of a U.S. corporation or partnership after May 8, 2014, shall be treated as an inverted corporation and thus subject to U.S. taxation if, after such acquisition (1) it holds more than 50% of the stock of the new entity (expanded affiliated group), or (2) the management or control of the new entity occurs primarily within the United States and the new entity has significant domestic business activities.
Cosponsors (10)
- Steve Cohen (D-TN)
- JAMES COOPER (D-TN)
- Jesus Garcia (D-IL)
- MARCY KAPTUR (D-OH)
- Ro Khanna (D-CA)
- JAMES MCGOVERN (D-MA)
- ELEANOR NORTON (D-DC)
- JANICE SCHAKOWSKY (D-IL)
- Raúl Grijalva (D-AZ)
- Mark Pocan (D-WI)
Subjects
- Administrative law and regulatory procedures
- Corporate finance and management
- Department of the Treasury
- Foreign and international corporations
- Income tax rates
- Taxation of foreign income
Sourced from Congress.gov (public domain).
This is legal information, not legal advice. Laws vary by jurisdiction and change frequently. Always verify current law with official sources and consult a licensed attorney in your jurisdiction for advice on your specific situation.