Bill > S1298

Introduced Session

This bill prohibits State administered pension fund investment in corporations shifting ownership or operations outside the U.S. for tax purposes (i.e. corporate inversion tactics). The purpose of this bill is to prevent the State's pension fund investment from supporting the domestic income generation activities of corporations willing to flee the U.S. to avoid tax liability. The bill prohibits the investment of State administered pension funds into a corporation shifting ownership or operations outside the U.S. if that shift lowers the corporation's effective income tax rate by 20% or more within a three-year-period. The bill requires the State to dispose of all investments held in violation of this prohibition within three years of the date of enactment. The bill also includes two reporting requirements: (i) an initial report detailing the current investments in corporations using inversion tactics that is due within 60 days of the date of enactment; and (ii) an annual report detailing the progress made in disposing of investments in corporations using inversion tactics. The annual reporting requirement expires upon the complete disposal of investment in corporations using inversion tactics.

AI Summary

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Shirley Turner (D)*, 

Introduced in the Senate, Referred to Senate State Government, Wagering, Tourism & Historic Preservation Committee (on 02/10/2020)