Debevoise’s global tax practice co-chair Peter Furci spoke with Bloomberg about the potential impact of tax reform on M&A, noting that some provisions could be a boon to buyers.

The Bloomberg article notes, “Perhaps the biggest difference in the bills related to M&A is this: The House’s bill would give buyers a massive gift by letting them immediately deduct the entire value of the tangible assets -- equipment, buildings, land, inventory -- of businesses they acquire. Now such deductions must be spaced out over five or more years.” Mr. Furci discussed the impact of this change with Bloomberg saying, “This certainly could spur M&A activity because people will want to buy to take advantage of it,” adding, “It would incentivize people to accelerate purchases.”

Tax Overhaul May Be Boon to M&A Despite House, Senate Conflicts 
By David Carey
November 13, 2017