Senator Investigating AbbVie’s Taxes
Senate Finance Chair Ron Wyden, an Oregon Democrat, has alleged that AbbVie "shifts profits offshore while reporting a domestic loss in the United States to avoid paying U.S. corporate income taxes."
Roll Call:
Oregon Sen. Ron Wyden Investigating Drugmaker AbbVie’s Tax Strategy
Senate Finance Chair Ron Wyden launched an investigation Wednesday into AbbVie’s international tax practices, accusing the pharmaceutical company of shifting profits offshore and registering patents in low-tax jurisdictions to avoid paying U.S. corporate income taxes. Wyden, an Oregon Democrat, wrote to AbbVie Inc. CEO Richard A. Gonzalez questioning how the company has paid “a stunningly low effective tax rate” and “consistently reported net losses in the U.S. and net income outside of the U.S.” despite its domestic headquarters and sales presence. (McPherson, 6/2)
FiercePharma:
It's Not Just Pricing And Patenting. Now, AbbVie's Taxes Are The Target Of Congressional Scrutiny
AbbVie has spent years responding to a congressional probe over its drug pricing and patenting strategies, with the findings just becoming public late last month. Now, in a newly unveiled probe, congressional Democrats are zeroing in on the company's tax payments. In a letter to CEO Richard Gonzalez dated Wednesday, Sen. Ron Wyden, D-Oregon, chairman of the Senate Finance Committee, questioned why Chicago-based AbbVie makes most of its revenues in the U.S. but has “consistently” reported net losses in its domestic market while making money abroad. The company generated $34.9 billion in U.S. net revenue in 2020, or about 75% of its global sales. (Higgins-Dunn, 6/2)
In other news from Capitol Hill —
Modern Healthcare:
Congressional Leaders Propose Permanent Expansion Of GME In Health Centers
Two Congressional leaders on Wednesday introduced a bill that would expand a program that helps train primary-care and dental residents in high-need areas. Under the proposal, the Teaching Health Center Graduate Medical Education program, which supports the training of primary care doctors in outpatient settings in communities, would be made permanent and receive $500 million per year between 2024 and 2033 to fund about 1,600 new resident training slots at 100 programs across the country. Currently the program receives about $126 million per year, with funding expiring in 2023. (Hellmann, 6/2)
Roll Call:
Staff Training Key To Shifting Attitudes On Accessibility For Disability Community
Many staffers are heading back to Capitol Hill, and official visitors aren’t far behind, but the return to offices is prompting questions about gaps in physical and digital accessibility in Congress for staff, lobbyists, constituents and lawmakers with disabilities. With historic buildings and slow adoption of technology, Congress still has a long way to go to make itself accessible not just in the physical space but also online, where so much business has been conducted in the past year. (Tully-McManus, 6/2)
