I recently got involved in a transaction where the searchers had certain "budget", and were considering the pros and cons of acquiring the assets vis-a-vis the stock. Here's some tax aspects you should take into account:
Stock:
- No VAT
- Tax liabilities 'stay' with the company
Assets:
- 16% VAT (subject to VAT exemptions), which might not be creditable by the acquiring SPV
- Tax liabilities might still follow the assets, but are easier to 'fence'
Stock vs Asset Purchase in Mexico
by a professional from New York University
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We maintain partnerships with database providers that make searching more effective, efficient and affordable along with features that help searchers find deals and investors and vice versa.
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