A Corporate Tax Dodge Gets Harder
People shop around to get the best deal, especially on large or ongoing expenses.<p>Corporations shop around to get the best incorporation deal, which includes taxes, knobs on taxes, import&#x2F;export regulations, legal climate, etc.<p>If X shops around and finds a legal means of getting what they need cheaper, they go for it, whether X is a person or a company.<p>Both at the personal and corporate level, the more financially well-off you are, the wider your shopping reach is.  For somebody making $30k&#x2F;year, a couple of percent difference in exchange for upheaving your life isn&#x27;t going to be worth it.  But for some entity making $300M&#x2F;year, a couple of percent is a lot of money, and it&#x27;s worth seeing what they can do to shave those points off their taxes.  People with a lot of money also have much more mobility to move to a lower tax area of their choosing, and still travel where they want.<p>So in the comparison to shopping around, you really can&#x27;t fault this type of corporate action, until they actually go illegal.  You need to deal with the incentive structure these people &amp; companies are looking at from their perspective if you want their money to stay in your jurisdiction.