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Schakowsky Statement on Administration's New Measures to Combat Corporate Inversions

September 23, 2014

CHICAGO – Last night, the Department of Treasury announced new rules to reduce incentives for American companies to perform tax inversions. Under an inversion, U.S. companies merge with a foreign partner and move their headquarters outside of the country to reduce their tax liability. Rep. Jan Schakowsky issued the following statement in response:

I applaud the Obama Administration for taking steps to make tax inversions less lucrative and less likely to occur. American businesses benefit from all that this country has to offer: an efficient and reliable transportation system, a well-educated and motivated workforce, and a customer base that is the envy of the world, just to name a few. There should be no reward for complicated tax-dodging maneuvers that leave the rest of Americans holding the bag. With the changes announced yesterday, it is my hope that American companies considering inversions rethink their plans.

While I support for Treasury’s actions, more must be done to end inversions. Congress must pass H.R. 4679, the Stop Corporate Inversions Act, which would make it much more difficult for American companies to dodge taxes by relocating. I will continue to work with the bill’s sponsor, Rep. Sandy Levin, and my Democratic colleagues to encourage Speaker Boehner to bring H.R. 4679 to the floor for a vote.

For more information click here to see a press release from the Treasury Department.