Michael Williams of BDO explains how new tax laws will impact domestic and cross-border M&A activity.
Submitted by BDO, an M&A Leadership Council partner organization
New legislation will impact both domestic and cross-border deals.
In recent months, significant tax legislation has been enacted, with immediate impact on deals and deal-making. For M&A professionals, it’s important to carefully consider the potential effects on mergers and acquisitions both this year and in the more distant future.
Michael Williams of BDO, an M&A Leadership Council partner organization, sat down with us to discuss income tax basics; highlights of tax changes and how they affect domestic and cross-border deals; and best practices to address some of the changes. Watch the full webinar, above.
A few key takeaways:
- The new tax provisions will impact how deals are structured, valued and financed. For example, buyers will need to consider a number of provisions that interact with each other—and are complicated to evaluate in combination.
- Reduced corporate tax rates may increase earnings and cash available for M&A deals for strategic acquirers. Structuring deals in the US may be more likely not only due to lower tax rates, but also because of increased barriers to offshoring income.
- More certainty now exists regarding the operating framework for deals, and this could accelerate mergers and acquisitions activity that was previously on hold.
Come meet Mike and more outstanding M&A experts at The Art of M&A Due Diligence. This unique executive training program brings together industry leaders from organizations like BDO and Willis Towers Watson. Space is limited, so register today.