Expert and intricate tax due diligence and structuring can be the defining ingredient in successful mergers and acquisitions (M&A). As commercial transactions continue its exponential growth in complexities and intricacies, it is highly advantageous to obtain a clear vantage point for true assessments as to objectively define commercial dispositions.
Our extensive experience in tax due diligence empowers us to examine and conduct inspections with nuanced thoroughness, and further complemented by astute mapping of efficient tax structure - all to safeguard and protect your business from unwanted surprises or complexities.
Tax Due Diligence
Evaluating potential tax consequences of transactions related to acquisition of shares or business or assets has never been more important. In the context of an acquisition, it is essential for potential buyers to identify the historical tax risks of a target, assess tax opportunities, in addition to understanding the impact of risks and opportunities in the foreseeable future. Significant unrecorded tax liabilities and exposures might exist or arise from past practices adopted by the target. In an equity deal, the organization will inherit not only the current tax liabilities but the tax history of the target – therefore, it is critical to understand the tax history and potential additional tax liabilities. Moreover, having the right representations and warranties in the sale and purchase related documents is vital for a buyer to safeguard against potential risks even when the transaction is considered completed.
At RSM Indonesia, our team of tax due diligence are ready to work together and represent you as one team in a full process of tax due diligence of a target organization or business partner to create joint venture with, either onshore or offshore.
Our team are committed to work together and adhere to our principle and methodology of due diligence project management:
- Efficient planning and coordination of deliverables
- Identifying the issues early and communicating them to the organization will better ensure timely program delivery
- Coordinating with the other advisors (legal or financial) to ensure a smooth deliverance
You can place your trust in us as we help you identifying tax risks of a target, in both retrospective and prospective terms. Not just dwelling at the surface, we assess the risks and inform you on the likelihood of occurrence so you may base on the analysis derive the best decision to approach and negotiate a deal.
We also undertake necessary discussion and Q&A with the management to understand the target’s business activities and tax affairs. Through the process and reviewing of the data, we are also able to comment on any unusual transactions which may create future tax liabilities.
Tax Structuring
When it comes to M&A deals, tax structuring is critical and fundamental, whether from the perspective of the purchaser or seller, value creation and protection is vital in a time of change, be it merger, acquisition, disposal, IPO or other refinancing.
Our team of M&A tax possess extensive experience having been involved in diversified and large M&A deals. We will work side by side with you to understand the underlying transaction and your objectives and develop the most efficient structure in terms of acquisition, ongoing operating model, and financing to achieve long-term sustaining value.
Leveraged on our global tax network, RSM can guide you through the M&A environment in a congruent manner. Having built close collaboration and synergies in other parts of our transactional services, and with external advisors in the field of M&A deals, we are able to offer pragmatic M&A tax and transaction solutions for you to cut through the complexity and achieve your ultimate goals without worry.