Valuations in the U.S. are generally required around a transaction and can be grouped by needs for financial reporting, tax, or legal purposes, as well as for compliance or recurring regulatory purposes outside of a transaction.
Argentina has five main valuation practice characteristics that companies must remain mindful of during the decision-making process when pursuing business transactions in the country.
When it comes to business combinations and asset acquisitions, Brazilian standards require the determination of the fair value assets and liabilities at their acquisition date.
“The one area we see many companies still struggling is coming up with the applicable incremental borrowing rate.”
Financial reporting in Japan is mostly based on Japanese Generally Accepted Accounting Principles (JGAAP) and International Financial Reporting Standards (IFRS).
Werkheiser to Globest.com: “While the definitions of property seem straightforward, there is considerable room for interpretation…that may have a significant economic impact for taxpayers.”
Implementation of the ASC 842 lease accounting standard is putting companies in a challenging position to determine their applicable incremental borrowing rate.
Tax benefits exist for companies that distinguish real versus personal property. However, legal nuances, if interpreted inaccurately, can bring significant economic consequences.
As seen in the Jan. 2019 issue of Mergers & Acquisitions magazine, Jeff Miller discusses potential expected trends for PE firms in 2019.