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Thursday, November 26, 2015

Marriage for money: Pfizer and Allergan with an eye to Ireland

Yes, there are R&D benefits, an incredibly strong drug pipeline, and other solid reasons behind the merger of Pfizer and Allergan. But let's call it for what it is: an inversion deal that creates the world's largest pharmaceutical giant to maximize tax benefits. Perhaps that USA tax system will now be modified to help prevent these "traitorous" corporate moves?

Whether "un-American" or not, tax avoidance is legal, rational, and here to stay. Tax inversion deals maybe less so. https://www.nytimes.com/2015/11/25/business/dealbook/why-pfizers-deal-may-change-the-system-oftaxing-multinationals.html