Kevin Kaaha of Kaaha Consulting has written an in-depth article on “The Other Tax Deferred Sale” for educational purposes only. The following is a direct quote from the summation of the article:
Here is a review of benefits for a Treasury Securities Structured Sale (Funded Installment Sale):
- Potential tax relief.
- Deferring capital gains taxes.
- Receiving a fixed, guaranteed return on all deferred monies.
- Income payments are not subject to the credit worthiness of the buyer because the seller relies on United States Government Obligations, backed by the full faith and credit of the US government, which are recognized as the safest investment available. US Government Securities are rated AAA by Fitch, Ana by Moody’s and AA+ by S&P.
- Flexibility in designing future payment streams.
- There are no ongoing or additional administrative expenses.
- Transfer of title is immediate.
This planning should be accomplished only with professionals who are familiar with this tax law and are practiced and licensed in this area.
Fore more information, please visit www.ressale.com.