Cha&Kwon Law Offices provided legal advisory on all-inclusive share swap method and taxation issues between corporations of the U.S. and Singapore.

The client was preparing to establish a parent company overseas (U.S. corporation, Singapore corporation) while having a subsidiary company already established in Korea. Under this circumstance, the client’s inquiry was about flip (all-inclusive share swap) of having foreign corporation as the parent company. This case was special in that the client had a record of having published virtual asset (token and/or NFT).

Partner attorney Ohoon Kwon provided legal advisory relevant issues such as 1) overseas virtual asset regulation trend and 2) methods of establishing corporation most optimal under such regulation trends, 3) domestic regulations that might become problematic during the process of flip, 4) procedure of reporting as foreign exchange on flip, and 5) taxation issues on share swaps.