“the U.S. Department of the Treasury and the Internal Revenue Service (IRS) issued a notice that takes targeted action to reduce the tax benefits of — and when possible, stop — corporate tax inversions in September 22nd, 2014.”(treasury.gov) This policy can be easily regard as an action that aiming to prevent from American companies evading tax by relocating oversea through acquiring corporation, more particularly, Burger King announced last month to acquire Tim Hortons in Canada.  President Obama has said that companies that invert for tax purposes lack “economic patriotism.”(nytimes.com)

This comment make me think about “business ethic” again. Burger King’s operation behavior will hurt the middle class companies which act responsibly because the burden of tax will be taken by them. However, relocating to Canada do decrease cost of the company, which gain profit for there stakeholders, and the managers of companies should take responsibility to their board and stakeholders. So in my opinion, we can’t judge BK saying they are unethical, what they did is just playing a role in the right position that make much net profit. Business ethic is still a controversial topic that  both sides insist on their points, and I believe this disagreement can motivate more people consider about business ethic deeply and form their own thought.

Reference:

“Treasury Announces First Steps to Reduce Tax Benefits of Corporate Inversions.” U.S. Department of the Treasury. 22 Sept. 2014. Web. 27 Sept. 2014.

Davis, Julie. “U.S. Acts to Curb Firms’ Moves Overseas to Avoid Taxes.” The New York Times. The New York Times, 22 Sept. 2014. Web. 27 Sept. 2014.