Due diligence, tax structuring done … what next?
Published Date: 1 Jul 2023
This article explores the basics of the enterprise to equity value bridge, and how this is typically used to structure an offer to purchase the equity of a company. It will then consider how the findings identified during the due diligence process are used to shape equity value, and how these adjustments are used to balance the interests of the vendor and purchaser, with a particular focus on the adjustments required at completion of a transaction. It provides an overview of the two mechanisms available to balance these interests, being the traditional completion accounts mechanism and the locked box approach. It will also consider the typical provisions that are included in a sale and purchase agreement in relation to financial accounting and tax issues.
Sorry, this is subscriber only content.
To gain access to this material and much more - Subscribe Now.
(Note: Members can access Taxation in Australia journal articles without a Tax Knowledge Exchange subscription - please log in to access).
Already a Subscriber? Login now
Details
- Published By: Sally Pace, Chris Dunne CTA
- Published On:1 Jul 2023
The material is copyright. Apart any fair dealing for the purpose of private study, research criticism or review, as permitted under the copyright Act, no part may be reproduced by any process without written permission from The Tax Institute.
Unless expressly stated, opinions are not that of The Tax Institute, which accepts no responsibility for the accuracy of any of the information contained within it.
The Tax Institute
(ABN 45 008 392 372 (PRV14016))
("TTI")
The Tax Institute is a Recognised Tax Agent Association (RTAA) under the Tax Agent Services Regulations 2009.
Copyright Statement
All materials provided on this site are protected by copyright and are owned by or licensed to TTI.
Except as expressly permitted by TTI or the copyright owner, any person or company who uses this site must not use, reproduce, redistribute, retransmit, publish or otherwise transfer, or commercially exploit, the materials or any information, software or other content, in whole or in part, which is available through this site.
Tags
Share this page