Irish Examiner Quotes David Rosenbloom on Proposed Regulations Aimed at "Earnings Stripping"
H. David Rosenbloom spoke with Irish Examiner concerning a proposed regulation from the Treasury Department targeting companies who are "earnings stripping," a method of avoiding taxes by paying excessive amounts of interest to another party. This strategy is used by companies who have completed inversions, transferring their tax deductible interest payments to their U.S. subsidiaries while then also transferring their tax address to their foreign headquarters in a lower taxed country. The proposed regulation "is absolutely breathtaking, very elaborate and very far-reaching," noted Mr. Rosenbloom. He went on to say "This regulation uses inversions as an excuse to do something way beyond inversions." For the complete article, please visit Irish Examiner's website.