Tax covenant: negotiating guide | Practical Law
This negotiating guide explains the purpose and rationale for the provisions that usually appear in the tax covenant on a share sale. It also explains the issues that commonly arise in negotiations and in some cases suggests additional drafting that may be useful. It is designed to accompany Standard document, Tax covenant: corporate seller version but can also be used in conjunction with our other tax covenants, as the underlying principles and many of the provisions are the same.