inversion
noun
, -shən\
Definition of inversion
Examples of inversion in a Sentence
Recent Examples on the Web
After three of the last 10 inversions, the U.S. economy continued to grow over the next two years, UBS economists note. — Alain Sherter, CBS News, "3 reasons the U.S. economy isn't set to fall off a cliff," 20 Aug. 2019 The latest inversion, however, is considered more of a tripwire. — Washington Post, "Treasury yields invert, warning of possible recession," 15 Aug. 2019 Because of that link, substantial and long-lasting inversions of the yield curve are largely viewed as a strong predictor that a downturn is on the way. — Jonnelle Marte, BostonGlobe.com, "What is an ‘inverted yield curve,’ and why does it matter?," 14 Aug. 2019 But sometimes there’s there a point where the temperatures flip, which is called an inversion, and temperature increases with height. — Robert Krier, sandiegouniontribune.com, "Make way for May gray," 10 May 2018 That could require rethinking the Second Amendment, possibly by appointing judges who interpret it differently — an inversion of the NRA’s campaign to portray gun ownership as an individual right. — German Lopez, Vox, "Here’s where every 2020 candidate stands on guns," 7 Aug. 2019 Other issues like long, complicated labor, uterine tearing, and uterine inversion (when the uterus actually turns upside down) can also cause hemorrhaging, the Merck Manual says. — Patia Braithwaite, SELF, "11 Health Conditions You Should Know About If You’re Black and Pregnant," 30 July 2019 There are good reasons why yield-curve inversions tend to precede recessions. — The Economist, "Yield curves help predict economic growth across the rich world," 27 July 2019 The first technique was standard 3D fluid-attenuated inversion recovery (FLAIR) imaging that allowed the team to calculate the volume of white and gray matter throughout each patient’s brain. — Beth Mole, Ars Technica, "Brain imaging weirdness adds to Cuba “health attack” mystery," 24 July 2019These example sentences are selected automatically from various online news sources to reflect current usage of the word 'inversion.' Views expressed in the examples do not represent the opinion of Merriam-Webster or its editors. Send us feedback.
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More Definitions for inversion
inversion
nounFinancial Definition of inversion
What It Is
Corporate inversion is practice by U.S.-based companies of exchanging their registration with a subsidiary outside the U.S. in order to pay lower taxes.
How It Works
Many large companies in the U.S. have smaller subsidiary companies located outside of the country. Called "offshore subsidiaries," these smaller companies are registered and taxable in the country in which they are located. Since the tax burden for some wholly-owned foreign companies can be significantly lower under these circumstances, the U.S.-based parent company may engage in corporate inversion, swapping registrations with its offshore subsidiary so it is taxed at a lower rate.
For example, if U.S.-based Company XYZ owns Subsidiary ABC, located in the Caribbean, and ABC is taxed at a lower rate, XYZ may use corporate inversion to switch its U.S. registration with the Caribbean subsidiary in order to lower its overall tax burden.
Why It Matters
Corporate inversion, while a legitimate tax strategy, has serious implications for the revenue collected by the Internal Revenue Service (IRS). With the growing popularity of corporate inversion in recent years, the IRS has made an effort to impose penalties and other deterrents upon companies that engage in this practice.
Source: Investing Answers
inversion
noun
English Language Learners Definition of inversion
See the full definition for inversion in the English Language Learners Dictionary
inversion
noun
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Medical Definition of inversion
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inversion
noun
\
Legal Definition of inversion
— called also corporate inversion, tax inversion
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