The Double Irish: A One Minute Guide to Inversions

The video explains a controversial tax loophole used by US companies to minimize taxes. It involves licensing intellectual property to Irish companies, which then pay minimal taxes due to deductions. This strategy allows US multinationals to amass significant earnings offshore, impacting US tax revenue by up to $90 billion annually.

What is the initial step in the tax loophole process described in the video?

• A U.S. company sells its products to an Irish company.

• A U.S. company licenses its intellectual property to an offshore entity.

• An Irish company invests in U.S. real estate.

• A U.S. company merges with an Irish company.

Which location is mentioned as the base for the first Irish company involved in the tax loophole?

• New York, USA

• London, UK

• Sunkist Bahamas

• Dublin, Ireland

How does the second Irish company benefit from the tax loophole?

• By receiving government subsidies

• By increasing its workforce

• By paying reduced taxes due to royalties and fees

• By expanding its market share

What is the estimated cost to the U.S. economy due to this tax loophole?

• $50 billion

• $150 billion

• $90 billion

• $120 billion

How much revenue did America's largest multinationals accumulate outside the U.S. last year?

• $1.95 trillion

• $2.5 trillion

• $1.5 trillion

• $3 trillion