Tax consulting for companies

Evaluating the possible legal forms and the most efficient and functional structures, also from a tax perspective, is a key aspect to consider before starting a business in Switzerland.

Clients envisaging doing business here are assisted by our firm, also in case of transfers of companies or business units from abroad.

Extraordinary transactions aimed at changing the structure of a company or of a group of companies, such as mergers, demergers, conversions, and intragroup transfers of business assets, must be carefully prepared in order to be optimally executed.

We support our clients with the planning and implementation of tax-efficient business reorganizations, also in case of cross-border restructurings.

Besides adequate planning and execution, M&A transactions first require a comprehensive analysis of the risks that may be associated with the envisaged transaction.

In the initial stage, LCA Tax Consulting performs a tax due diligence to uncover potential tax exposures. Later, if the client intends to close the deal, we offer assistance in drafting the purchase agreement’s tax clauses and implementing the extraordinary transaction.

The transfer of the business to family members, employees, or third parties outside the company generally requires a well-structured process. The various phases of effective business succession planning, from the moment of the entrepreneur’s decision and the definition of goals and expectations to the implementation of the business succession, can take up to several years.

In this regard, we assist the entrepreneur with timely tax planning, and we discuss the envisaged transactions with the tax authorities to obtain a preliminary decision (tax ruling).

Inadequate remuneration of loans to and from shareholders or related parties may trigger significant adverse tax consequences. Serious tax implications generally also result when a loan granted to the shareholder is not fiscally recognized as such.

For our clients, we assess from a tax perspective the actual conditions and characteristics of these financing transactions in order to mitigate tax risks for the company and the shareholders. We also help them determine fiscally adequate interest rates.

For the employer and the employees, it is crucial to have clarity from the beginning on the tax treatment of the various forms of equity compensation granted under an employee participation plan. All the more so in the case of participation plans governed by foreign law.

Besides supporting the client’s legal team in setting up the plan, we discuss the plan with the Swiss tax authorities in order to receive a tax ruling confirming the tax treatment in Switzerland. Employer and employees thus obtain the necessary clarity on the tax treatment.