Corporate inversions are the rage as corporations look to save billions of dollars in taxes by buying or merging with a foreign company in a lower tax environment, often Ireland. The law firms making it happen are racking up big fees. Just ask the team at Skadden, Arps, Slate, Meagher & Flom LLP working on Pfizer Inc.’s $155 billion deal with Allergan PLC. Their immediate task is getting the biggest tax-lowering merger in history past U.S. authorities.
Meanwhile, they are facing off with the Internal Revenue Service to get tax-free treatment for Yahoo Inc.’s spinoff of its $20 billion stake in Alibaba Group Holding Ltd.—an effort the agency dealt a setback in September—as well as shepherding a pair of other big transactions that would move U.S. companies overseas.
Steve and Sinclair review a Wall Street Journal report on whats behind the Pfizer-Allergan merger and why it is a slam dunk to occur. Hint: Pfizer stands to save at least $3 billion in taxes.
CFP®, CIMA® Murray Titterington joins the A Team to review and recap new social security rules and how widow and divorce benefits work in the new environment.