Scott M. Gerhardt is a member of our Corporate & General Business and Taxation groups. After 20 years of practice (having served as an in-house Tax Counsel and Director level Tax Attorney for U.S. conglomerates), he has gained extensive experience in corporate tax structuring, mergers and acquisitions, and international tax planning involving conglomerates headquartered anywhere in the world. Mr. Gerhardt has performed tax services for companies representing a wide range of sectors in our economy such as renewable energy, construction, pharmaceuticals, industrial manufacturing/services, specialty chemicals, and oil & gas. As an in-house Tax Lawyer, he has dealt with issues commonly encountered by taxpayers all over the word and can easily spot and resolve Tax issues encountered by our clients.
During his career, Mr. Gerhardt has been involved in many different transactions in a variety of settings. Here are a few examples –
- Structured and integrated three acquisitions in a tax-efficient manner for a U.S. based manufacturer (company grew from $700 million to $2 billion in revenues):
- Successfully navigated United Kingdom Arbitrage and Thin Capitalization rules in establishing the United Kingdom holding vehicle to make acquisitions.
- Utilized German real estate partnerships to prevent the repetitive application of German real estate transfer tax on the integration of newly acquired subsidiaries saving millions in taxes.
- Successful in pushing 50% of acquisition debt overseas through integration transactions, allowing the mechanism to repatriate cash to the U.S. and allow for local tax deductions for interest expense.
- Debt was successfully pushed into the United Kingdom, Germany and China.
- Tax Planning:
- Migrated IP to a U.S. manufacturer’s existing principal/agent structure in Europe to boost the profits of the principal and prevent the recording of a valuation allowance against the ~$45 million DTA for the principal’s net operating losses.
- Mr. Gerhardt has successfully introduced a variety of international holding companies and utilized the U.S. check the box rules to tax efficiently deploy capital around the world and avoid the U.S. Subpart F inclusion rules.
- Tax efficiently repatriated nearly $1 billion in cash to U.S. owners of foreign subsidiaries (Pre-AJCA).
- Tax Compliance/Audit/Controversy work:
- Mr. Gerhardt has successfully managed several U.S. audits by the Internal Revenue Service without any material adjustments.
- He has successfully prepared and/or reviewed most aspects of U.S. tax compliance, including transfer pricing reports.
- Successfully managed the representation of U.S. companies in foreign audits around the world (Belgium, Germany, China are a few examples).
When not practicing law, Scott is traveling with his family around the country to watch his daughters play club volleyball. On weekends, you are likely to see Scott on the backroads of Texas letting his Corvette ZR1 or AC Cobra “unwind” a bit!