This module gives an overview of what to do when shareholder disputes arise. Shareholder disagreements can relate to how a company is run, in particular where there are two businesses run by the same company which could be best run seperately.
The module explains how a demerger can be achieved by making a distribution to shareholders. It then shows how direct and indirect mergers can be structured to achieve tax exemption. It concludes with some planning points and notes of other tax aspects which need to be considered.
On completion of this online course, you will gain an understanding of:
- when a demerger is likely to be appropriate
- what the benefits are of structuring a demerger in a tax efficient way
- the conditions which must be complied with to qualify for exemption
- when an indirect rather than a direct demerger is likely to be appropriate
- situations in which a demerger is not possible.