MWA is now CLA

We are excited to share that we plan to join CLA (CliftonLarsonAllen LLP) on November 1, 2018. CLA is a national professional services firm that, like us, has developed an approach to business grown out of a passion for the businesses in our communities and a deep concern for the people who make them run. Please click here for more information:

https://www.claconnect.com/media/mwa-cpa-and-business-advisory-firm-joins-cla


As CLA, we can offer you even deeper knowledge and capabilities when you need it — while retaining the agility we have today.
All told, this transition should feel seamless. Take a look at CLAconnect.com to get a feel for CLA — creating opportunities for businesses, individuals, and communities through industry-focused wealth advisory, outsourcing, audit, tax, and consulting services.
If you have any questions or concerns, please do not hesitate to contact us. We look forward to continuing to serve you.
 

How MWA Debugged A Software Client’s Challenging Sale

Client Profile

A software development company with a large amount of valuable intellectual property approached MWA after being targeted for acquisition. The company had heard about our ability to create tax efficient plans for companies facing the opportunity to sell, so they hired us to develop a strategy for minimizing the tax ramifications of the sale for both the company and its shareholders.

Pain Point

The client understood the sale would present tax challenges, but it had no idea how to minimize tax liability while also maximizing the sale price and without upsetting the buyer. Many of the company’s software developers were also shareholders living in many different states all over the country. The shareholders believed they would be taxed in all the affected states based on their own research, but they hoped they could somehow eliminate or minimize their state and federal tax liabilities.

The Right Solution

After a long discussion with the company’s management to identify all potential tax ramifications of the sale, we researched the federal tax code and applicable state tax codes to develop the most efficient solution for all parties affected by the transaction. Our solution eliminated tax liability in all states except one, and in the one remaining state we developed a unique structure to reduce the tax liability by half of what it would have been without our solution.

Above and Beyond Results

Not only was MWA able to save the client more than $200,000, we also provided peace of mind to the client’s management and shareholders by communicating a complex strategy in an easily understood format and by ensuring all critical questions were fully answered before the client proceeded with the sale.

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