Tax Implications On Business Restructurings

Debt restructuring, and ultimately formal insolvency, give rises to possible tax implications for borrowers, lenders and guarantors. The tax implications arising from business restructuring should not be underestimated. Attempts to improve a company’s cash-flow position through debt restructuring can inadvertently trigger tax liabilities which could undermine the efficacy of such moves.

Our guide summarises some of the key tax issues from business restructuring.