In this period of ongoing economic volatility, many companies are finding themselves faced with a need to restructure their debt, often when the debt is trading at a significant discount to face value.
Please join professionals from the KPMG M&A Tax practice and Washington National Tax office as they discuss:
- Traps for the unwary when modifying indebtedness and leading practices to prevent prematurely triggering cancellation of indebtedness income
- Transaction structures that may:
- Reduce negative drag of attribute reduction on a company’s usable tax attributes
- In the right circumstances, position a company to emerge from a cancellation of indebtedness transaction with a stronger tax attribute position than it had going in
- Some of the significant electivity available to a company experiencing cancellation of indebtedness income or worthless stock deductions (or both) to maximize the “match” between the company’s attributes and its projected income recognition