Localhigh impact · 8/10substantive160199

Council sought to bar City from contracting with tax inversion companies.

Official:Amending Title 17 of The Philadelphia Code, entitled "Contracts and Procurement," by adding language to bar the City from contracting with companies that use tax inversion or earnings stripping strategies to avoid paying taxes to the United States of America; all under certain terms and conditions.

Sponsor: Council President Clarke

Introduced: March 10, 2016

: Committee on Finance

procurement taxation

No one voted on this bill

This bill was introduced in the 2016–2019 Council term and when that term ran out. The public record shows no committee vote and no floor vote at any stage, so no member of Council ever went on record for or against it.

That is not unusual here. Of the 8,465 bills introduced between 2000 and 2025, 1,624 lapsed without a single recorded vote. Ninety percent of bills that became law carry a roll call. Three percent of lapsed bills do. How this works.

Plain-Language Summary

This bill would prevent the City of Philadelphia from contracting with companies that use tax inversion strategies to avoid paying US taxes.

What This Bill Does

AI-written. Every figure is checked against the bill text.

The bill does the following

Defines "Tax Inversion Company" as a corporation that was legally domiciled in the US, relocated to a lower-tax nation after July 1, 2016, and still operates in the US.
Prohibits the City of Philadelphia from contracting with Tax Inversion Companies.
Defines "Terminating Business in Iran or Sudan" as a company that produces a plan to end business in Iran or Sudan within one year and implements the plan in good faith.
Does not explicitly address contracting with companies that fit this definition, but may imply that they are also subject to the prohibition on contracting with Tax Inversion Companies.