M&A DUE DILIGENCE
Often, the tax liabilities of acquisition targets are uncertain, at best. Consequently, you will want to learn as much as possible about any potential sales and use tax exposure you may be inheriting with an acquisition.
If you are the target of an acquisition, having a clear picture of your possible sales tax exposure will help you at the bargaining table and will prevent unneccesary “claw back” of purchase price by buyers claiming nonexistent sales tax liability.
If you are selling assets, you will also want to know whether sales tax could be imposed on a transaction so that you can properly structure the deal to account for the tax. Too often, sellers are left holding the bag for sales taxes long after the buyers are gone.
Resolve Sales Tax, LLC can examine your target’s financial records to uncover any hidden sales tax liabilities, as well as reduce the risk that a state agency will assess an unexpected tax liability on the transfer or sale of assets.