Tax consequences can turn an otherwise successful change of ownership into a financial disaster.

A successful generational transfer of a company to children or employees involves numerous aspects that are legal and financial in nature. “Soft values” are also very important.

In all generational transfers, it is important to understand the tax consequences of the transfer and to integrate tax matters into the planning, as taxation will typically affect the parties’ financial bottom line.

The professionals at Hejm Vilsgaard Advokater provide advice about all legal aspects of generational transfer including tax planning. The latter may extend to transfers with tax deferral (tax succession) to the next generation or an employee group. The same is true of other changes in company ownership.

We are pleased to collaborate on these processes with other advisors, including accountants and other lawyers. You may involve us to the degree you require.

A typical generational transfer will involve:

  • Clarification whether the transfer goes to the next generation or to external parties
  • Management of expectations between the parties, including the transferring party’s future relationship to the company as regards influence and financial participation
  • Clarification of the model for change of ownership, including valuation
  • Assessment of tax matters relative to the transfer
  • Requisitioning of relevant binding responses or approvals from the tax authorities
  • Implementation of the transfer
  • Reporting of gifts, if relevant
  • Closing

Are you considering a generational transfer?

Contact one of us directly, or give us a call today on (+45) 7930 1710. You may reach us at info@hvlaw.dk.