According to the FT this morning:
Three US companies seeking to use controversial takeovers to cut their US tax bills hold at least $21bn in â€œtrappedâ€ offshore cash that the deals could unlock.
According to data compiled by Moodyâ€™s for the Financial Times, the biggest offshore cash piles held by companies pursuing so-called â€œtax inversionsâ€ belong toÂ Medtronic, a medical devices group;Â AbbVie, a drugmaker; andÂ Applied Materials, a technology group.
I could spend ages explaining how and why this works. Thankfully I don't have to. Pulitzer prize winning journalist David Cay Johnston has done it in Newsweek.
Can I strongly recommend it's worth a visit to read his article?