July 25, 2017

Gizmodo: Meet the Shell Company Uber Used to Acquire Otto

media mention

This kind of patent game has been played best by Pfizer. In its annual report on offshore tax havens used by Fortune 500 companies, the Institute on Taxation and Economic Policy notes that Pfizer hasn’t reported any federal taxable income in eight years, in part because of its effort to offshore its patents. “The company can transfer patents for its drugs to a subsidiary in a low- or no-tax country. Then when the U.S. branch of Pfizer sells the drug in the U.S., it ‘pays’ its own offshore subsidiary high licensing fees that turn domestic profits into on-the-books losses and shifts profit overseas,” ITEP reports. Read more