Back to top

Tax Valuation

Our Experience

SVG professionals have significant experience with performing valuations for a variety of Tax purposes including stock-based compensation, gift and estate, charitable contributions, and others. Accordingly, our work is designed, performed, and delivered with methods that are robust, supportable and well-documented.

Taxes and the accompanying compliance requirements can have a significant impact on business decisions and risk management. Accordingly, understanding those requirements and their impact on valuation is integral to a robust analysis. SVG professionals work with clients and their advisors to provide competent analyses in this area.

Furthermore, our Financial Reporting expertise gives us the capability to assist our clients to properly address the financial reporting elements in addition to the tax elements of the valuation.

Our Clients

SVG works closely with clients in a variety of key industries, including: Healthcare, Manufacturing, Distribution, Telecommunications, Technology, Business Services, Insurance, Retail, and others. Our clients range from smaller private companies to large, publicly-traded companies.

Service Lines

Purchase Price Allocation

Business combinations transactions frequently require compatibility with IRC Section 1060 for tax reporting purposes. Our professionals have extensive experience in this area for various asset classes and can assist clients by providing independent and objective analyses.

Section 409A

Legislated by Congress in 2004, Section 409A sets the requirements for deferred compensation election, funding, and distribution. Proper Section 409A implementation requires the application of Fair Market Value standards. SVG has extensive experience with emerging technology companies in providing valuations that are utilized by management, legal counsel, and auditors. Our comprehensive know-how in Fair Market reporting is a considerable asset in assisting clients with proper implementation of this legislation.

Gift and Estate

Gifts and Estates are exposed to the graduated tax rate structure. Several considerations are necessary in providing an educated Fair Market Value estimate. SVG professionals have proper credentials and experience to assist their clients with independent and supportable Fair Market Value analysis.

Charitable Contributions

If individuals or businesses donate property other than cash to qualified organizations, they may generally deduct the Fair Market Value of the property. SVG’s team of professionals can assist clients with Fair Market Value appraisals and issues surrounding the value appreciation of the properties donated.

IRC 338 - Certain Stock Purchases Treated as Asset Acquisitions

This election permits the acquirer to treat the purchase of the stock of a subsidiary corporation as an acquisition of assets followed by a tax-free liquidation, often leading to a stepped-up basis for such assets. Under this election, the target corporation should be treated as if it has sold all of its assets in a single transaction on the acquisition date. Our professionals can assist corporations, lawyers, and auditors by Providing Fair Market Value Analysis under this election.

IRC 280G - Golden Parachute Payments

Executive severance arrangements in acquisition of public companies and change of control may trigger the application of IRC Section 280G, also known as "Golden parachutes." Proper tax planning can decrease or remove disallowance of deductions under Sections 280G and 4999 in advance. SVG experts can assist potential target companies and acquirers by reviewing applicable arrangements, performing scenario analysis, and recommending alternative approaches.