Tax Due Diligence
Private-Equity-Investors and corporates rely on customized tax advise when purchasing new companies and assets. Analyzing and evaluating tax risks and other implications in connection with such transactions have to be revealed in a detailed tax due diligence. In this respect, we have long-term experience in preparing tax due diligence and tax quick scan reports.
The acquisition structure plays an important role when acquiring a target entity as the acquisition financing and the needs of the purchaser have to be correctly reflected. We analyse inter alia the following aspects:
- Tax efficient legal form selection
- Tax structuring such as mergers, change of legal form, spin offs, etc.
- Implementation of tax groups
- Arm‘s length intercompany financing
SPA Tax Advice
The tax risks discovered by a tax due diligence have to be thoroughly reflected in the SPA to protect the purchaser from tax payments. We advice potential purchasers on tax relevant aspects of the SPA and develop together with their legal advisors the respective tax indemnity, tax clause and tax guaranties.
Post Closing Tax Advice
We support you on successful transactions by mitigating the identified tax risks and practically implementation the acquisition structure (tax review of the necessary contracts and tax registration).
Sell Side Advice
On a potential divesting of a portfolio, tax advice is also an essential part of a successful transaction. We can decisively support you during the sales process by preparing tax fact books and vendor due diligence reports.
Multinational groups usually have to prepare transfer pricing documentations if they do business in Germany. Intercompany transactions of these groups have to satisfy the arm’s length principle. During our due diligence procedure we will also review the transfer pricing setup for multinational groups and provide advice on future pricing of intercompany transactions.