Interest deductibility, foreign exchange, withholding taxes... John Webb, Andrew Cotterill and Mairead Murphy (PwC) review the key UK tax considerations for financing transactions and global treasury functions.
Optimising a group’s financial structure through managing gearing cashflow and foreign exchange volatility is a key role of finance and treasury teams. However given that tax relief for financing expenditure reduces the net cost of servicing debt and the weighted average cost of capital tax has long been a component of financing decisions.
Recent changes in corporate treasury and tax landscapes mean this topic is of ever increasing importance. Trends include:
recent decreases in market interest rates and the rush for liquidity making refinancing or taking on new debt increasingly attractive;
significant foreign exchange volatility (for example due to Brexit) has increased the importance of hedging and the need to ensure it is book and tax effective; ...
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Interest deductibility, foreign exchange, withholding taxes... John Webb, Andrew Cotterill and Mairead Murphy (PwC) review the key UK tax considerations for financing transactions and global treasury functions.
Optimising a group’s financial structure through managing gearing cashflow and foreign exchange volatility is a key role of finance and treasury teams. However given that tax relief for financing expenditure reduces the net cost of servicing debt and the weighted average cost of capital tax has long been a component of financing decisions.
Recent changes in corporate treasury and tax landscapes mean this topic is of ever increasing importance. Trends include:
recent decreases in market interest rates and the rush for liquidity making refinancing or taking on new debt increasingly attractive;
significant foreign exchange volatility (for example due to Brexit) has increased the importance of hedging and the need to ensure it is book and tax effective; ...
If you or your firm subscribes to Taxjournal.com, please click the login box below:
If you do not subscribe but are a registered user, please enter your details in the following boxes:
