Voluntary Disclosures Prove a Useful Tool in Tax Liability Talks

A voluntary disclosure agreement can be beneficial to both sides in a merger and acquisition transaction. By stressing the extent to which the parties are aligned, a buyer and seller may be able to negotiate more efficiently to mitigate overall tax liabilities, according to Sidley's Katharine A. Funkhouser, Tara M. Lancaster, and Richard M. Silverman.

Reproduced with permission. Published Nov. 21, 2022. Copyright 2022 Bloomberg Industry Group, Inc.