Merging for tax dollars

Description

Abstract: The COVID-19 pandemic has had an enormous impact on the economy, but different types of businesses have been affected differently. As the struggles continue, many corporations have found themselves with net operating losses and other tax benefits they won’t be able to use in the foreseeable future, while others have enjoyed unusually high profit levels. This article details a merger or acquisition-based strategy where one corporation’s losses can be offset against the other company’s profits.