Distressed Assets

Distressed Assets

Andersen specializes in independent, objective, and practical planning advice for distressed assets funds, their general partners, and holdings. 

Investments in below-market personal and real property requires active management and comes with complex tax and regulatory challenges. Andersen supports the objectives of distressed assets funds, their general partners and holdings through integrated approaches to address the complex issues facing the industry.

Our advisors provide best-in-class expertise, including:

• Strategies for optimal fund structure both domestically and offshore and including special investor issues.
• Preparation of Form 1065s and state and local tax returns, including calculation of financial statement-to-tax differences.
• Preparation of Schedule K-1s, reporting to meet U.S. filing requirements and U.S. tax reporting obligations.
• Preparation of passive foreign investment company (PFIC) statements, including consideration of the excess distribution regime, mark-to-market regime, and the qualified electing fund (QEF) regime.
• Planning/analysis of fund structure with regard to unrelated business taxable income (UBTI) for tax-exempt entities, effectively connected income (ECI) for foreign investors and other special investor issues.
• Preparation of tax documentation to obtain withholding tax refund in accordance with international tax treaties.
• Tracking contributed property and mandatory built-in gain or loss basis adjustment calculations.
• Partners’ strategies for profits interest ownership, including analysis of prospective legislation.