In our new Talking. Secondaries. series, we will seek to demystify the secondaries and synthetic secondaries markets and provide insights into the variety of tools available to GPs when looking to provide liquidity to their limited partners and their portfolios.
In the sixth instalment of our Talking. Secondaries series, we examine the US tax rules which have significant implications on secondaries transactions – ECI and FIRPTA. Getting the US tax right is key to many secondary transactions. It should be considered at an early stage – if not, the risk of unexpected US withholding taxes and filing obligations could derail your transaction.
