Obama Renews Call For Congress To Limit “Tax Inversions”

It’s when a U.S. company merges with a usually smaller company based overseas, moving their home-base with it, and exploiting a tax loophole when they do it. The Treasure Department just announced new curbs on Monday, which seem aimed squarely at one of the largest tax inversion cases out there, the Pfizer-Allergan pharmaceutical merger.

The new rules will make it tougher for companies to move their tax addresses out of the U.S., and shift profits to low-tax countries in the process. But this is Washington, and even though both sides of the aisle agree inversions are a big problem, while Democrats praised the new rules, Republicans criticized them as the wrong approach.

ABC’s Lana Zak joined us from Washington D.C.