Obama outlines his opposition to tax inversion loophole

Medtronic headquarters
Medical device maker Medtronic's logo reflects in the pond in front of the corporate headquarters Tuesday, Aug. 24, 2010 in Fridley, Minn.
AP Photo/Jim Mone

In a speech in California Thursday, President Barack Obama asked Congress to close a tax loophole that allows companies to reincorporate overseas in order to avoid certain US taxes - a process known as an "inversion".

Fridley-based Medtronic is in the process of making such a move and any action by Congress could scuttle the company's deal with the Ireland-based company Covidien.

Guardian Finance Editor Heidi Moore joins The Daily Circuit to discuss the chances for any tax changes passing Congress and what it could mean for Medtronic and other companies considering tax inversions.

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