How Tax-Inversion Rules Changed After Pfizer

Episode 28 of The Tax Policy Podcast dives into corporate tax inversions—the practice where U.S. companies reincorporate abroad to lower their tax bill. Lucas and Luna examine the 2016 Obama-era rules that effectively killed the Pfizer-Allergan $160 billion merger, and how subsequent Treasury regulations have reshaped cross-border M&A. They break down the key metric: the 80% continuity-of-ownership test, and explain why post-2016 inversions dropped by over 90%. The episode also looks at the 2022 Inflation Reduction Act's 1% stock buyback tax as an alternative pressure point. With real examples from AbbVie, Johnson Controls, and Mylan, the hosts ask whether inversion risk is truly dead or just dormant under the next administration. A focused, number-driven conversation for anyone who wants to understand one of the most contentious chapters in U.S. corporate tax policy. #TaxInversion #PfizerAllergan #CorporateTax #ObamaRules #TreasuryRegulations #TaxPolicy #MergersAndAcquisitions #InflationReductionAct #StockBuybackTax #ContinuityOfOwnership #AbbVie #JohnsonControls #Mylan #Economics #BusinessPolicy #FexingoBusiness #BusinessPodcast #TaxPodcast Keep every episode free: buymeacoffee.com/fexingo