M&A and consolidation: New restructure rules paper

Published on 01 May 09 by NATIONAL DIVISION, THE TAX INSTITUTE

This paper covers:

• background - what was at stake and what was the concern?
• what the recent amendments seek to achieve
• the start date for the amendments
• the threshold test - "restructure"
• the impact of the amendments on cost base
• the replacement entity's choice to deny roll-over relief
• the "stick" option for the target's assets
• a worked example of the cost base outcomes in a tax consolidation context
• scrip-for-scrip acquisitions - the new tax landscape
• a restructure which meets the requirements of Subdivision 124-G
• a restructure using CGT rollover under Subdivision 124-M involving a non-widely held target and acquiring company
• a restructure using CGT rollover under Subdivision 124-M involving a widely held target or acquiring company
• non-restructure using CGT rollover under Subdivision 124-M.

Author profile

Richard Hendriks CTA

Richard has been a Director of Greenwoods & Freehills since 1998. Richard advises on a wide range of corporate tax matters. He has extensive experience in advising listed companies and stapled groups on mergers and acquisitions, demergers, company restructures and capital management transactions. Richard also advises listed groups on employee share and rights plans. - Current at 13 November 2014

More by Richard HENDRIKS

• Capital management - 01-June-2014
• An update on the consolidation regime paper - 19-May-2011
• Merger & acquisitions transactions paper - 14-October-2010
• Corporate acquisitions and demergers paper - 02-November-2007
• Partnerships and trusts - 03-February-2003

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