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Investment into and expansion within the UK: acquisition planning

When structuring a UK acquisition, there are a myriad of tax issues to consider, as Helena Kanczula (BKL) explains.

The current economic uncertainties have impacted the commercial decision-making processes for investors considering expanding into or within the UK. Tax has also come strongly into focus as the UK navigates its way through the current fiscal environment. In this article I review aspects of an acquisition from a tax perspective but taking a more practical approach regarding some relevant areas. I have focused on an overseas investor looking to expand into the UK but a number of the following issues would also apply to a UK group looking to expand through the acquisition of another UK group.

There are several aspects of the legislation which can impact on the tax profile of a UK group so an acquirer will need to review the position carefully. Since 1 April...

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