Treasury to unveil steps to curb tax inversions

WASHINGTON (AP) — Treasury Secretary Jacob Lew says he'll announce new steps on Monday to prevent American companies from reincorporating overseas to shirk U.S. taxes.

Lew says so-called "tax inversions" are an unfair practice and a glaring loophole in the U.S. tax code.

President Barack Obama has denounced inversions as unpatriotic and has urged Congress to stop them. But with quick action in Congress unlikely, the Treasury Department has been reviewing potential actions the administration could take without Congress. Treasury is also examining ways to reduce the tax benefits for companies that pursue inversions.

In an inversion, a U.S. business merges with or is acquired by a foreign company in a country with a lower tax rate.

The Obama administration says the best way to address inversions is still through legislation.