Grantor trusts and other trusts differ primarily in terms of who holds the tax liability and control Grantor trusts offer more flexibility and control to the grantor but may not provide the same level of asset protection or estate tax benefits as other types of...
How to Make an Equity Sale an Asset Sale for Tax Purposes
When a corporate business is sold, it can be structured as either an equity sale or an asset sale. Typically, a corporate business sale is structured as an asset sale because of existing contracts and licenses that must remain with the company, requiring the buyer to...
A Summary of Real Estate Risk-Mitigating Strategies
1. Market Risk: Market risk in real estate investing refers to the potential for financial loss or reduced returns due to fluctuations in the real estate market. Mitigate market risk by keeping up-to-date with market trends, economic forecasts, and changes in local...
Taxation of Real Estate Sales
Selling real estate can have significant tax implications, both at the federal and state levels. Understanding how these taxes are calculated is crucial for real estate investors and property owners to effectively manage their finances and make informed decisions. The...
Using Insurance in Buy-Sell Agreements
When launching a new business with multiple owners, establishing a buy-sell agreement is not just a prudent decision—it's an essential one. A buy-sell agreement is a legally binding contract that outlines how ownership interests will be transferred if certain events...
Understanding the IRC 1202 Gain Exclusion
Internal Revenue Codes Section (IRC) 1202, also known as the Qualified Small Business Stock (QSBS) provision, is a tax incentive designed to encourage investment in small businesses. It offers significant tax benefits to investors who hold eligible stock in qualified...