Merger and acquisition (M&A) activity continues to be strong in 2021 as companies on the buy-side and sell-side take advantage of favorable market conditions and a rebounding post-pandemic economy. If M&A activity is in the cards for your business, you need to understand how recent tax developments could affect your strategy. Read on to discover tax moves and considerations that will help you make the most of your planned transaction.
Topics: m&a, merger & acquisition, Taxes, mergers and acquisition, post-pandemic
The purchase price doesn’t tell the full story of acquiring a business. Sales tax is generally imposed on the sale of tangible personal property, including the acquisition of a business enterprise. When sales tax isn’t properly addressed on the front end, it can result in liability issues that trigger unexpected expenses for the purchaser. Purchasers that do not address successor liability on the front end may be on the hook for sales and use tax not paid by the seller for the transaction.
Topics: Sales Tax, merger & acquisition, Buying a Business
What do physics and merger & acquisition deals have in common? Plenty, it turns out. In a college physics class, for example, you might find a class of physicists and engineers learning about electronics and magnetism. The magnetic state of an object refers to how that object reacts (degree of attraction) within a magnetic field. That magnetic field rotates in a certain direction around the flow of an electrical current, and as a result, shows where the magnets would attract one another.
Topics: investments, m&a, merger & acquisition
