capital gains tax solutions
deferred Sales Trust cost overview
CLOSING COSTSAttorney one time
1.5% of trust up to $1,000,000 & 1.25% of trust above $1,000,000
- Tax and Legal Structure
- Includes Audit Defense for life of the trust
- Includes working with CPA to properly report your personal tax return
- This fee is tax-deductible
At Close of Trust and Annual RecurringCapital Gains Tax Solutions: Trustee
50-85 basis points (1/2 of 1%) to .85%
- Tax Return $750-$1,000 range
- Out of network investments (such as real estate or funding a real estate development project or business) – (1.5% -150 basis points) for funds removed from the trust into an LLC, however, subtract the Financial Advisor Fees for amount directed.
- Optional 10 year Carve Out One Time Upside FEE: you may purchase outside of the trust a one-time optional option carve for 1.5% for funds directed to an LLC to invest into out of network investments (as many deals as you want for the duration). This is 10-year option to direct funds to an LLC which can buy and sell real estate in and out of the Trust all tax-deferred or .75% for 5-year term.
ANNUAL RECURRING FEEFinancial Advisor
50-130 basis points
- Depending on what Financial Advisor manages the funds, account size and where the funds are invested.
- + DACA Account Fee $1,500 (if DST account is less than $1M) every 18 months.
Lifetime Support & Audit defense including in every closed Deferred Sales Trust
Investments managed by Wealth Advisors with access to investment grade securities
24/7 access to view funds. Funds only move with Client’s signiture. DACA account protection. A broad variety of investments can be selected to secure the principal and the return specified in the note including Stocks, Bonds, Mutual Funds, ETFs, REITs, Managed Accounts, Annuities and Life Insurance, etc.
Buy into your own investment real estate deal, existing closed investment property or CRE fund with experienced CRE Operators through by partnering with your trust at any time all tax deferred.
Eliminate the need for a 1031 exchange and overpaying for a property in a Seller’s market. Instead wait until the timing is optimal and for a buyer’s market. Up to 80% of the trust funds may be directed to deals like this at any time. To start: form a brand new LLC and then partner with the DST Trust. DST Trust can invest 100% of the down payment and receives a preferred return of +1% of the original promissory note and 10% ownership (which then flows to you via the trust). 90% of the ownership goes to you the managing member of the LLC. New depreciation schedule is available here with 90% of the depreciation going to you which is a significant benefit compared to the 1031 exchange where the depreciation schedule travels. This is considered an out of network investment and additional fees apply.
Move equity outside taxable estate
Save 40% on any amount above $11M single or $22M married couple still inside taxabale estate by usign the DST to remove funds from taxable estate when escrow closes.
2000+ dEFERRED SALES TRUST CLOSED WITH 14 NO CHANGE irs AUDITS
“It’s a relief to be rid of the apartment building. It was a very lucrative investment, but it came with a lot of headaches that took up my time and energy.”.”
“I’ve personally found that after being involved in hundreds of real estate transactions, one of the biggest concerns that sellers face when they contemplate divesting of one of their Real Estate investments, is the significant capital gains exposure that might come as a result of the sale. In fact, I’ve seen firsthand many situations where owners of investment property feel somewhat trapped between a rock and a hard place and feel hostage to the outrageous capitals gains that they will pay in the event of a sale”