April 9, 2021
Bloomberg Tax quoted Tax Partner Andre Benayoun in an article about the tax issues encountered by Canadian SPACs acquiring U.S. cannabis companies.
Bloomberg Tax
Excerpt:
… So if a taxable gain is triggered, some investors may not have access to enough cash to pay that tax bill when it is due. “It often becomes a real problem, and that’s why these deals are structured to qualify as full inversions over 80%,” Benayoun said. “But it’s still a possibility if you’re not paying attention.”
