Tax Due Diligence
Is your company ready to be sold?
You have workedhard tobuildupyourcompanyandperhapsyou are startingtothinkabouta possible exitroute.Thismayinvolve asale ofthe companysharestoathirdparty.
Anyone lookingtobuythe shareswill wanttosatisfythemselves thatthe companyhascomplied withits taxobligations(aswell aslegal, regulatory andfinancial obligations) before proceeding.Anypotential buyerwillengage accountantsandlawyers toundertake aformal due diligence process.
Ifthisprocessuncoversanyareasthat have beendealtwithincorrectly,orthere are areasthatare consideredtobeatriskofHMRCchallenges, thiscouldnegativelyimpactthe saleabilityofyourcompany, the price thatyou canexpecttoreceive, orleadtounforeseencosts.
AtOldMillwecanhelpyou prepare foranydue diligence enquiries bycarryingoutapreparatorytax diligence exercise before the ‘real thing’, making sure thatanyproblemareasare identifiedearlyand helping you toresolve these asfaraspossible.
Ourprocessisverymucha‘dressrehearsal’ forthe actual due diligenceprocessthatyourcompanyis likelytobesubjectto, shouldyou decidetosell yourshares, socanalsobe informative astothe nature of the processyou will undergo, shouldyou wishto sell.
Our‘InternalTaxDueDiligence’ProcessandDelivery
• Issue detailedquestionnairestothe business
• Collate informationfromthe completedquestionnaires, includingassistingwithmissingareas
• Review lastthree yearscorporationtax computations
• Review VATreturns
• Review PAYEandemploymenttaxationreportingandcompliance
• Review share history inrelationtoEmploymentRelatedSecurities risk
• Review share scheme paperworkandimplementation, ifrelevant
• Provideyou withadetailedpaper, reportingonmatters whichare ofparticularrisk
• Recommendcorrective action, suchasdisclosurestoHMRCforundeclaredtaxes, andliaise with HMRC onyourbehalf, ifnecessary.
We canalsoreview the ownershipstructure, includingifyou operate via agroupofcompanies, to determine whether there are anyopportunities tomakeamore taxefficientsale thanwouldotherwise take place.
Ifthisserviceissomethingyouwouldbeinterestedin,pleasegetintouchandspeakwithoneofourtax experts,foundhere.
“...any problem areas are identified early and helping you to resolve these…”
