Obama praises Treasury steps to deter tax inversions

WASHINGTON — President Obama on Tuesday championed federal steps to deter a corporate financial practice known as “tax inversions” and called on Congress to close the loophole “for good.”

Inversions happen when U.S. companies relocate their business interests on paper to take advantage of lower tax rates.

The new regulations, the third round from Treasury on the issue of inversions, seek to limit internal corporate borrowing that shifts profits out of the United States.