Insuring Tax Positions - A Guide for the Tax Professional

Inherent risk and uncertainty are often inevitable when acquiring or investing in a company, deploying a tax strategy or taking a tax position. Tax insurance is designed to protect against a taxing authority’s challenge to an identified and supportable tax position and provides protection if the tax position fails to qualify for the intended tax treatment. This presentation provides a detailed analysis of tax insurance and the process to obtain tax insurance and provides an overview of common tax risks and opportunities for mitigating such risks. Attendees will learn about the benefits and limitations of tax insurance, current market trends and other key considerations for potential insureds and their advisors.

The presentation will cover the following topics:

• Transactional risk insurance;
• Representations and warranties insurance;
• Tax issues in M&A transactions;
• Tax insurance;
• Common tax risks and opportunities for mitigating such risks;
• Benefits of tax insurance;
• When tax insurance is appropriate;
• Process to obtain tax insurance;
• Typical tax insurance coverage, terms and exclusions; and
• Current market trends.