U.S. corporate parasites flee offshore

Profits trump patriotism. That is how Kate Barton, a tax partner at Ernst & Young, explains the stampede of U.S. companies rushing to incorporate in Bermuda while retaining all the benefits of their U.S. locations and evading millions in corporate tax payments to the U.S. Treasury.
Thanks to David Cay Johnston of The New York Times, we learn that for a few thousand dollars in a paper transaction, a U.S. drilling company like Cooper Industries of Houston (which bills itself as "a responsible corporate citizen," because, "we believe giving back is good business") will reduce its tax bill by 40 percent or $54 million. Kate Barton told The Times that companies conclude that increased profits are "powerful enough that maybe the patriotism issue has to take a back seat to that."
Let us be clear: These fictitious Bermuda companies continue to enjoy all the benefits of U.S. citizenship. They and their property are protected by the American legal system. Their contracts are enforced by American courts. Because of the U.S. government they have chosen to stiff, they breathe clean air and drink clean water, drive on safe highways and they and their families are kept safe by the world's best military.