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Corporate Restructuring | Inbound Investment | Outbound Investment | Succession Planning | Post-Transaction Services | FDI |

M&A Tax Services.

Sorting Tax assists you in enhancing your corporate value by serving as a trustworthy professional counsel for M&A, foreign investment and corporate restructuring. We offer tailor-made advisory and consulting services as per your needs, and ensure that the vast experience and in-depth knowledge of our in-house experts are fully leveraged to offer solutions on all M&A tax-related issues so that you can navigate the turbulent industry and thrive.






    Services that we cover under M&A Tax

    circle 1 Corporate Restructuring

    We provide various alternatives to restructure your business and bring in efficiencies through the following (within the legal framework) –

    • Tax optimization of loss-making entities through amalgamation/merger;
    • Separating business units for raising funds through Demerger, Slump Sale, Itemised Sale and Optimising Tax Losses etc.
    • Reducing multiple entities through amalgamation thereby saving on compliance cost;
    • Exploring areas for reducing Effective Tax Rate (“ETR”).
    Corporate Restructuring
    circle 2 Inbound Investment

    Identifying tax implications of various structures of investing in India by foreign companies, with specific emphasis on: –

    • Capital Structure Planning;
    • Acquisition Structure, if any;
    • Impact of tax on Business Model;
    • Profit/Cash repatriation, Exit from Indian company/Overseas investment vehicles;
    • Implications on other related parties and other transaction.
    Inbound Investment
    circle 3 Outbound Investment

    This is a business strategy where domestic businesses expand their operations to foreign countries. To achieve this, we:

    • Provide advise on overseas investment strategies and developing the investment framework as per the domestic regulatory regime in various jurisdictions;
    • Assist regarding business structuring of corporate entities, capital restructuring and adhering with compliance regimes;
    • Identify tax and fiscal incentives;
    • Assist in claiming tax credit and any other tax compliance requirement from the concerned regulatory authorities;
    • Provide advise regarding the various tax implications under the respective tax treaties.
    Outbound Investment
    circle 4 Succession Planning
    • Selecting the right investment vehicle for smooth transition of wealth between different generations;
    • Defining rights of various parties, and conditions contingent on which such rights can be exercised
    Succession Planning
    circle 5 Post-Transaction Services
    • We assist you in Regulatory as well as tax compliance and breaking down complex statutes on corporate tax restructuring.
    Post-Transaction Services
    circle 6 Foreign Direct Investment (FDI)

    Foreign Direct Investment (FDI) is considered as a major source of non-debt financial resources for economic development of a nation. There are various aspects involved in Foreign Direct Investment in India where our team can assist you, like:

    • Conduct extensive market-research and suggest sectors where investment can be made;
    • Obtain relevant approvals concerned regulatory authorities and related nuances.
    Foreign Direct Investment (FDI)

    Why choose Sorting Tax for M&A Tax Consultancy?

    Sorting Tax’s team works closely with you to understand the fact pattern and provide customized M&A tax solutions to cater to your specific needs. Our team of M&A and International Tax consultants design a framework to meet deadlines and minimise any penalties on you to ensure smooth restructuring of your business and its operations. Our corporate tax professionals ensure reliable support and take care of the technicalities, while you grow your business and remain focused on the future.




    Surcharge on Income Tax

    Surcharge on income tax Income tax is one of the


    Reduction of Share Capital

    Reduction of share capital under Section 66 of the Companies


    PAN Card India – How to obtain and importance

    What is an Indian PAN Card  and why it is


    Tax on dividend income in India

    Dividend, in ordinary sense, is   payment made by a company


    Demergers in India: The Rise and Fall of Empires

    Demergers in India is undertaken to separate a business unit


    Section 27 of the Income Tax Act

    Section 27 of the Income Tax Act provides cases, wherein,


    What are Mergers and Acquisitions (M&As)?

    Mergers and acquisitions are instruments that establish relationships between two or more business entities and are a key factor in determining business strategy.

    Why go for Mergers and Acquisitions (M&As) in India?

    In this fast-paced world where digitalisation is leading our global age, the world has become a smaller and a more competitive place. This is more so in the case of a developing nation like India.

    Creation of new markets or expanding old ones or even adapting to the existing ones, whether it be one or the other, businesses have to enter into transactions with other enterprises i.e., via mergers, acquisitions, amalgamations, takeovers or business restructuring.

    What are the advantages of Mergers and Acquisitions (M&As)?

    They help enterprises in:

    • establishing new markets;
    • penetrating existing markets;
    • cut out competition;
    • build strength;
    • get a market share
    • enter existing markets with established brand recognition;
    • expanding existing customer base;
    • reduce tax liabilities i.e., effective tax planning;

    and many other benefits arise when one enters into these agreements.

    How is India doing in the M&A landscape?

    As per Bain & Company’s Report 2022, Mergers and Acquisitions in India have picked up a steady pace, so much so that it acted as a boost of confidence for new entities, who boast for up to 80% of the total share of Mergers and Acquisitions in India in 2020-2021. This is a stark increase in the number of deals crossed, almost a 70% spike than the 2017-2019 period.

    What are the statutes that govern Mergers and Acquisitions (M&As) in India?

    • Companies (Compromises, Arrangements and Amalgamations) Rules, 2020
    • Companies Act, 2013
    • Foreign Exchange Management Act, 1999
    • Competition Act, 2002
    • Income Tax Act, 1961
    • Insolvency and Bankruptcy Code, 2016
    • Indian Stamp Duty Act, 1899
    • SEBI (Substantial Acquisition of Shares and Takeovers) Regulation, 2011

    What is the meaning of amalgamation?

    • Section 2(1B) of the Income Tax Act, 1961 defines amalgamation as the merger of one or more companies with one or more companies to form one single new All assets and liabilities previously belonging to the companies now belong to the newly merged entity. The company existing before the merger lose their identity to assume the identity of the newly formed business entity.

    There are two types of amalgamation agreements, companies can enter into:

    • Amalgamation in the nature of Merger
    • Amalgamation in the nature of Purchase

    What is a merger?

    It is an agreement that merges two existing companies into one entity. In this case, a new entity may or may not be formed. If a new entity is formed, it is called an ‘amalgamation’ and if the companies merge into an existing company it is called ‘absorption’.

    What are the different types of mergers?

    There are different types of mergers which include:

    • Horizontal Merger-Between companies dealing with the same product (Purpose: Reduces competition).
    • Vertical Merger-Between companies who are part of the same product chain, but operate at different stages of it. (Purpose: Diversification)
    • Conglomerate Mergers– Between two or more companies who are unrelated and do not operate in the same industry (Purpose- Diversification).
    • Congeneric Mergers– Companies serve same customer base and their but operate in different industries.

    Give examples of various types of Mergers

    Here are some examples of the various types of mergers that have been defined above:

    • Horizontal Merger

    Example: PVR Cinemas and INOX Merger

    • Vertical Merger

    Example: Walt Disney Company and Pixar Animation Studios

    • Conglomerate Mergers

    Example: Walt Disney Company and ABC

    • Congeneric Mergers

    Example: Coke and Vitamin Water


    • International Tax Consultant

      International Taxation

      As an International Tax Consultants, we provide services for FDI, Inbound & Outbound Investment and Transfer Pricing

    • UAE Tax

      UAE Tax

      As a UAE Tax Consultants, we provide services for UAE Corporate Tax, UAE Economic Substance regulations (ESR)

    • income tax

      Income Tax

      We provide services for Income Tax Return filing, Tax Audit & Transfer Price, Taxation and Compliances, Income Tax Assessment

    Get 30% OFF
    30% Discount on all our courses until March 26, 2023. Use Coupon Code
    Get 30% OFF
    30% Discount on all our courses until March 26, 2023. Use Coupon Code