Primary Contacts: 埃文·C. Ogrodnik会计师, 迈克尔•鲍曼

Maximize Hidden Deductions Related to Transaction Costs

合并, acquisitions and divestitures are major financial transactions that involve numerous and significant costs and expenses along the way. These fees and expenses can have a major after-税 impact on the final cost of a transaction. Performing a Transaction Cost Analysis (a TCA) can generate significant 税 savings opportunities by identifying certain costs and expenses that may be deductible currently, 或者随着时间的推移. 除了, a TCA helps manage the 税 risks associated with the transaction and the allocation of transaction costs by applying and documenting the necessary due diligence in determining the proper 税 treatment of transaction costs. Tax rules generally require capitalization of transaction related expenses, unless certain specific criteria are met to allow current deduction or amortization of these expenses over a prescribed period.

Since the effective date of Accounting Standards Codification Topic 805 (ASC 805), Business Combinations, there has been a divergence between the treatment of transaction costs for (U.S. GAAP) financial accounting purposes and for income 税 purposes. ASC 805 requires all transaction costs to be expensed as incurred. For 税 purposes, 然而, transaction costs might be appropriately expensed as incurred, capitalized as a separate intangible asset, included in the basis of shares acquired, included in the basis of other assets, or included in 税-deductible goodwill. Thus, the key 税 question becomes, how does a 税payer minimize the U.S. GAAP impact on net income and maximize 税 deductions from transaction costs to alleviate this difference between “book” and “税” accounting treatment for such costs?

A TCA distinguishes the deductibility and capitalization of costs associated with transactions for income 税 purposes. As well as providing documentation for 税 return deductions, IRS audit documentation and FIN 48 support relating to these deductions, with proper analysis, certain fees may qualify for an immediate deduction often resulting in significant cash savings.

About Schneider Downs Tax Advisors 

With one of the largest regional 税 practices in the country, Schneider Downs Tax Advisors’ personal focus on clients and in-depth understanding of current issues ensures that clients are complying with 税 filing requirements and maximizing 税 benefits. Our industry knowledge and focus ensures delivery of technical 税 strategies which can be implemented as practical business initiatives. 欲知详情，请浏览 税务bet9平台游戏.