© Copyright Acquisition International 2026 - All Rights Reserved.

Article Image - Yahoo’s Tax Free Plans for Alibaba Stake
Posted 21st May 2015

Yahoo’s Tax Free Plans for Alibaba Stake

Shares in the new company would be distributed among shareholders and the transaction could save as much as $16 billion

Mouse Scroll AnimationScroll to keep reading

Let us help promote your business to a wider following.

Yahoo’s Tax Free Plans for Alibaba Stake
Image

Yahoo’s Tax Free Plans for Alibaba Stake

Shares in the new company would be distributed among shareholders and the transaction could save as much as $16 billion

Investors of Yahoo may have casue to worry about the plans the company has to withdrawm it’s stake in Alibaba Group Holding Ltd. in the realisation of new scrutiny by the Internal Revenue Service in regards to tax-free spinoffs, tax lawyers have said.

January saw Yahoo announce a plan to remove it’s share in Alibaba, a stake valued at the time at $40 billion. Typically a U.S. company would see about 35% federal tax bill when it sells stock in another company for cash.

The deal is being structured as a complex spinoff, putting Yahoo’s Alibaba stake into a new company that will own an online service for setting up and running small enterprises. The shares in the new company would be distriubuted amongst it’s existing sharehodlers, which the company hopes will ensure tax-free treatment for the deal. Overall the transaction could save up to $16 billion.

 

Categories: Finance


You Might Also Like
Read Full PostRead - Eye Icon
BREXIT Could be Expensive – Especially for the United Kingdom
Finance
27/04/2015BREXIT Could be Expensive – Especially for the United Kingdom

Exiting the EU could cost the United Kingdom more than €300 billion.

Read Full PostRead - Eye Icon
Easy Ways To Improve Your Money Spending Habits
News
28/06/2022Easy Ways To Improve Your Money Spending Habits

Good management skills are something that is crucial in order to live a hassle-free and organized life, and no one can deny this fact. Management is extremely important in every aspect of your life, and if you don’t manage properly your tasks, you could end

Read Full PostRead - Eye Icon
Taking The Right Approach To Due Diligence When Acquiring A Business: Key Steps To Success
Legal
19/02/2020Taking The Right Approach To Due Diligence When Acquiring A Business: Key Steps To Success

Whilst not the most glamorous part of the process, due diligence is a key element of any acquisition. When expanded beyond a simple tick box exercise, due diligence can go a long way in determining the success of an acquisition. How can buyers successfully app

Read Full PostRead - Eye Icon
Seven Contracts Every Startup Should Be Aware Of
Legal
07/06/2023Seven Contracts Every Startup Should Be Aware Of

Starting a business is a challenging and exciting process, with founders expected to have a thorough understanding of numerous different legal processes. Startup founders need to be familiar with the different types of contracts they require to ensure their bu

Read Full PostRead - Eye Icon
(UK) Unemployment Back to Pre-Crisis Levels
Strategy
20/04/2015(UK) Unemployment Back to Pre-Crisis Levels

The last official data on employment and earnings before the general election revealed that unemployment has fallen by 76,000 to 1.84m, pushing the unemployment rate down to 5.6%.

Read Full PostRead - Eye Icon
The Smart City Technology Market is Expected to Be Worth More Than $27.5 Billion Annually by 2023
Finance
13/02/2015The Smart City Technology Market is Expected to Be Worth More Than $27.5 Billion Annually by 2023

A recent report from Navigant Research examines the strategy and execution of 16 leading smart city suppliers.

Read Full PostRead - Eye Icon
Golden Opportunities in Indonesia’s IP Industry
Finance
31/08/2016Golden Opportunities in Indonesia’s IP Industry

Am Badar & Partners is one of the leading intellectual property (IP) firms in Indonesia. The firm was founded by Mr Toetoen Ambadar, SH and established as legal entity on September 2 1965.

Read Full PostRead - Eye Icon
BGF announces further investment in SPEX Group Holdings Limited
Finance
24/01/2019BGF announces further investment in SPEX Group Holdings Limited

Aberdeen-headquartered SPEX Group Holdings Limited (“SPEX Group”) has secured a multi-million pound follow-on investment from its management team and BGF, the UK’s most active investor in growing businesses, to accelerate growth. BGF originally invested

Read Full PostRead - Eye Icon
New Research Reveals Discrepancy Between Public and Business Ethics
Finance
08/06/2015New Research Reveals Discrepancy Between Public and Business Ethics

New research reveals 70% of people want to invest ethically but the financial services industry is failing to respond



Our Trusted Brands

Acquisition International is a flagship brand of AI Global Media. AI Global Media is a B2B enterprise and are committed to creating engaging content allowing businesses to market their services to a larger global audience. We have a number of unique brands, each of which serves a specific industry or region. Each brand covers the latest news in its sector and publishes a digital magazine and newsletter which is read by a global audience.

Arrow