Steps to Defer Your Capital Gains Tax for Any Highly Appreciable Assets & Defer Your Income Tax for Any Income Stream or Salary
Alternative, Uncompromising & Exclusive Estate Planning & Wealth Preservation for Your Chartered Blueprint to Accelerated Financial Success. For individuals of high net worth, “affluent” investors, entrepreneurs, industrialists, physicians, senior executives, key employees, brokers, entertainers, personalities, any highly compensated or with commercial rights to income streams….patents, royalties, rent, day trading, etc…
Don’t blame your accountant. We specialize in tax-deferred, wealth preservation strategies. Financial engineering, with a twist.
How many attorneys and accountants could expound on such divergent concepts as: VEBAs, ESOPs, offshore employee leasing, transfer pricing regulations, CFC regulations, Foreign Sales Corporations (FSCs), small insurance companies, shared appreciation, equity stripping, charitable support organizations, private foundations, Section 1031 transfers, Section 1035 transfers, offshore foundations, private annuities, etc.
Dance your way around the Tax-Man. In an increasingly specialized world, it’s impossible for attorneys and accountants to keep abreast of all changes outside their narrow areas of practice. Most advisors have not become proficient in finding ways to help their clients with specialized tax strategies and tax advantaged solutions. The combination of factors: (a) the newness of the concepts and (b) the complexity and difficulty of the subject matter, has kept this to a focused few.
Asset protection, wealth preservation, tax avoidance, and tax reduction is a building block solution. Call me if you have a complex financial goal. We have a network of bonded and licensed real-world financial experts, across boundaries, on a domestic and international platform, with complete discretion, legal, and tax compliance of your transaction(s).
Two dynamic Tax-Deferral strategies with a surprising twist:
- Defer (postpone) your capital gains taxes, up to 30 years.
- Defer taxes on your salary, on any income stream.
(Updated for the “Dreaded Phase-Ins of the 2001 Tax Act.”)
(1) Defer Your Capital Gains Taxes on any Highly Appreciated Asset:
Based on your life expectancy, your taxes can be tax-deferred up to 30 years. “Deferred” means “Postponed.”
Qualifying appreciated assets include:
- the sale of your real estate
- the sale of your business
- your stocks, bonds, collectibles, art work, antiques, boats, planes
- ANY HIGHLY APPRECIATED ASSET(S)
- a note receivable that’s at least 2 years old
- your lottery winning, etc.
Example: $1million = $17.4million tax-deferred in 30 years.
- A $1million capital gain will tax-defer an immediate Federal Capital Gains taxes of $200,000 plus your state capital gains taxes.
- $1million (assumed) re-invested @10% for 30 years, will accumulate $16.5milliong of “tax-deferred” Income.
- At the date of your death, you will eliminate the very public probate jail process, court costs, probate fees, and
- You will tax-defer $9.6million of federal inheritance taxes, plus your state inheritance taxes.
Total Tax Deferred summary:
| Original Capital Gain | $1,000,000 |
|---|---|
| Federal Capital Gain Taxes @ 20% | $200,000 |
| State Taxes on Capital Gain @ 9% | $90,000 |
| Tax-Deferred Income 1million @10%, 30 years | $16,449,402 |
| Federal Inheritance Taxes Deferred @ 55% | $9,597,171 |
| State Inheritance Taxes Deferred @ 9% | $1,570,446 |
| Total Available to Your Heirs | $17,449,402 |
When this transaction is appropriately engineered and implemented by a qualified competent professional, your taxes may be postponed up to 30 years.
“Knowledge” is our most important “product.”
This series of financial transactions are complex. Not for everybody, one size does not fit all. It requires careful attention and professional competent implementation. It’s a legitimate, logical, and suitable method of tax deferral. To see if you qualify, contact us directly.
Ultimately, the complexity of these transactions are not done over the internet, telephone, fax, Email, or snail-mail.
“The hardest thing in the world to understand is the income tax.” – Albert Einstein.
There are two bridges. The first is easier to cross, you merely pay the toll. The other is “tax deferred” but you have to drive an extra mile in order to cross. The tragedy of life is that so few people know that the “tax deferred bridge” even exists.
See also Vertex Trust® / Deferral of Capital Gains
This Tax Deferral Transaction is NOT:
- NOT a section 1031 exchange (problem: you exchange known problems for the unknown and will not eliminate your original goal of selling your asset)
- NOT a Charitable Remainder Trust, or any of those hybrids (problem: you lose control of your assets to people who only care about spending your money as fast as they can. In addition, any tax benefits are quickly dissipated due to various IRS restrictions, NOT MY CHOICE.)
- NOT a Charitable Lead Trust or, any of those hybrids (problem: you lose control of your assets, tax benefits are lost due to IRS limitations.)
- NOT a purchase of someone else’s Capital Loss Carryover (problem: constructive step transaction, invitation to an IRS audit)
This Tax Deferral Transactions IS:
It’s a series of transactions financially engineered to defer your capital gains taxes, eliminate “probate,” eliminate estate taxes, defer taxes on your investment income, and when appropriately structured by a competent professional and is part of your financial plan, your taxes are deferred in your lifetime and your heirs may get the cash tax-deferred. I said Tax-Deferred.
It’s a series of transactions financially engineered to defer your capital gains taxes, eliminate “probate,” eliminate estate taxes, defer taxes on your investment income, and when appropriately structured by a competent professional and is part of your financial plan, your taxes are deferred in your lifetime and your heirs may get the cash tax-deferred. I said Tax-Deferred.
If you qualify, call us or contact us through the net. MINIMUM capital gains required US$500,000 Short term; US$1million Long Term.
Click here from more information on Deferring Capital Gains Tax on any of your highly appreciable assets.
(2) Defer Income Taxes on Your Salary or any Income Stream
Exclusively for those who “earn” more money than they spend, for the year.
This plan is on deferring your “Earned Income” (wages, salary, personal service contracts, commissions, any W-2 or 1099 compensation). Other forms of income streams (patents, rents, royalties, day trading, etc.) may be financially engineered to fit this legal exception. Minimum earned surplus cash required $150,000.
This financial “International Tax-Treaty” plan is extremely attractive to Brokers, Investors, Entertainers, Personalities, Physicians, Entrepreneurs, Industrialists, Key Employees, Senior Executives…any highly compensated individual or with commercial rights to income streams…patents, royalties, rental income, day trading, etc.
Click here for more information on deferring your income tax.
Who may qualify: a broker, executive, “affluent” investor, entrepreneur, industrialist, physician, senior executive, key employee, entertainer, any highly compensated individual with earned income or commercial rights to income, in excess of his requirements to live on.
Are you aware?
If a “non United States person” purchased Canadian utility bonds through a U.S. Virgin Islands exempt company, his bond interest is not subject to Canadian or U.S. taxes, his capital gains is not subject to Canadian or U.S. taxes, he has no estate taxes, but he has full use of the U.S. Court System against expropriation and litigation? How is it possible you ask? Well, it’s “advanced financial engineering & wealth preservation for accelerated financial success.”
“Special exemptions” under IRC §936 apply to the U.S. Virgin Islands, Puerto Rico, Guam, the Northern Mariana Islands, and the American Samoa. These “possessions” of the United States have “mirror systems of U.S. taxation” by transforming the Internal Revenue Code (IRC), as amended, into a “local code” by substituting “its name” for the name of the “United States” when appropriate. Residents are United States Citizens. But, for “tax purposes” they can become “offshore” with access to the United States Court Systems and all bi-lateral tax treaties. For “tax purposes” then, how do you become a “non U.S. person?”
Helpful resources: Readers often continue with QPRT Trust Guide, BDIT Trust Guide, and official IRS estate and gift tax guidance while sorting through timing, control, and long-term protection choices.
What readers usually compare next
Readers looking at Defer Capital Gains, Defer Income Tax usually compare timing, control, and exposure before deciding what to do next.
Three practical points to keep in mind
- Timing matters because tax planning usually works best before a crisis or audit pressure appears.
- Control matters because retained powers can change how the IRS views a trust or transfer.
- Funding matters because moving the right asset, in the right way, often matters more than the label on the document.
Helpful next steps
Readers often continue with Irrevocable Trust, Asset Protection Trust, and What Is a Grantor. When government rules shape the decision, many readers also review official IRS estate and gift tax guidance.
Answers that help
Common questions about this article
These answers summarize the topic in plain English so readers can move from the article into the next practical planning page.
What is the main takeaway from "Defer Capital Gains, Defer Income Tax"?
Steps to Defer Your Capital Gains Tax for Any Highly Appreciable Assets & Defer Your Income Tax for Any Income Stream or Salary Alternative, Uncompromising & Exclusive Estate… The article is meant to give readers a practical understanding of the issue so they can connect the topic to planning decisions instead of treating it as an isolated legal phrase.
Who should read this article?
This article is usually most useful for readers who are trying to understand defer capital gains defer income tax before making a trust, ownership, or asset protection decision and want a clearer explanation in everyday language.
Why does this topic matter in broader planning?
Topics like this matter because one misunderstood issue can change how readers think about timing, control, funding, or exposure. Articles like this help turn a broad concern into a more focused next step.
What should readers compare after finishing this article?
Most readers go next to a related trust page, a comparison page, or another article in the same category so they can test the idea against a larger planning framework before deciding what to do next.
