[dspillett]

I'm not sure why people are particularly surprised by this. Most of the large international companies that make most out of tax avoidance have large US bases. While the US economy does lose some to the schemes they use (like all the cash Apple has sat outside the US, to give a commonly quoted example) it loses less than the competing economies overall so agreeing to crack down on tax avoidance could result in a net loss. Even if it didn't, those companies can also afford to buy the best lobbyists in town who in turn can buy the relevant number of votes to threaten politicians who don't toe the line.

[hkmurakami]

and when these US based companies eventually bring back those profits to the US (whether it be at the full current rate - unlikely - or some negotiated one time discount rate), the lower the foreign tax burden the greater the US government gains.