HR 7493

The Stop Corporate Inversions Act of 2026 aims to prevent large corporations from moving their headquarters to foreign countries solely to take advantage of lower tax rates – a practice known as corporate inversion. This bill modifies tax rules to make it more difficult for companies to be classified as ‘inverted corporations,’ strengthening the requirement that a significant portion of a company’s management and operations must be based in the United States to maintain favorable tax treatment. It specifically addresses how companies acquired after 2014 are treated and clarifies the definition of ‘significant domestic business activities.’