Reef Point has developed an in-depth Partner Center geared toward helping financial professionals who are interested in helping their clients with Estate Planning, Proprietary Capital Gains Tax Deferral Strategies and Tax Planning Strategies. Partnering with Reef Point and Greg Reese, DST Trustee, can help expand your network of business partners and associates.
If you are a Tax CPA, Financial Advisor, Real Estate Agent or Broker, M&A Professional, Attorney, or a Business Broker, integrating Deferred Sales Trusts into your portfolio of solutions will help your current clients reap the benefits of an innovative and modern strategy to defer taxes and grow their portfolio while minimizing their risk. And, DSTs offer inventive ways to earn new business.
Professionals that should incorporate DSTs for their clients
Certified Public Accountants
Advising clients on complicated tax rules is your domain. Saving your clients money in taxes is what makes you a hero.
Financial & Investment Advisors
Comprehensive Wealth Management helps secure your client’s financial future. When it comes time for your client to exit a business or real estate investment, make sure you help them mitigate the tax consequences in order to incorporate those assets under your management and enhance the impact on your wealth management strategy.
Real Estate Professionals
Welcome to today. You no longer just manage real estate transactions, you solve problems in multiple tangent areas in the quest to help people achieve their dreams. In your world, the tax problem often looms large… Finally, you just may have the solution to that too!
Deferred Sales Trust can help Business Brokers assist client in retaining more money from the sale of a business.
M & A Professionals
Deferred Sales Trust allow M&A professionals to offer more added value to corporate business deals.
Whether you help manage legal business decisions, transactions, estate planning or related, make sure you are up to date on modern tax mitigation strategies you are able to vet for your clients, such as the DST.
What is a Deferred Sales Trust (DST)?
The DST has been used by financial savvy professionals and their clients for more than 22 years. It is a legal, proven and tested proprietary estate and tax planning strategy that allows persons who own highly appreciated assets such as real estate, a business, or high value collectables to sell those assets and defer the ordinary income taxes and capital gains taxes over a period of years instead of paying them all in a lump sum. The Deferred Sales Trust gives the seller/tax payer the ability to control their capital gains tax exposure, reinvestment terms, and installment payments made from the trust. The Law Firm who created the DST stands behind each client by offering Audit Defense Protection. In the event your DST is ever audited in Federal or State Court or by the IRS, Campbell Law will offer to represent you in such audit as part of their initial engagement agreement, and at no additional cost to the client. The DST has withstood over a dozen such audits as well as direct independent IRS reviews. To date, the DST has a perfect legal and tax compliant record.
Who offers the Deferred Sales Trust?
The Deferred Sales Trust (DST) is only available from the Estate Planning Team, LLC, in partnership with the Campbell Law Firm. Todd Campbell, Tax Attorney and CPA is the creator and architect of the Deferred Sales Trust. The Estate Planning Team, founded by Robert Binkele partnered with Campbell Law 21 years ago to develop a broad based approach to promote the DST strategy on a national basis. The Estate Planning Team manages all marketing and compliance related to the offering and execution of the DST.
The Estate Planning Team has successfully implemented thousands of DST’s over the past 25 years. During that time there have been 14 field audits and 2 formal IRS reviews. Campbell Law and the Estate Planning Team have never had a negative tax audit or adverse result from the IRS. Some of the most prominent tax law firms in the country, as well as hundreds of boutique tax law firms and CPA’s throughout the country have also independently reviewed the DST strategy, techniques and legal basis and have similarly concluded the DST to be sufficiently legal, proven and tested and would, and have recommended it to their own clients.
The Deferred Sales Trust requires the services of at least 3 distinct and independent professionals: The Tax Attorney, a Trustee and a Registered Investment Advisor. Reef Point, LLC is and authorized and approved Trustee for the Deferred Sales Trust and an affiliate member of the Estate Planning Team, LLC. Because of the proprietary nature of the Deferred Sales Trust Strategy and the absolute requirement to create and manage every DST within strict IRS rules and guidelines, each of these independent professionals must be vetted and trained on all aspects of the DST. The Estate Planning Team supervises the vetting, training, marketing and compliance requirements for qualified professionals who wish to become affiliate members of the Estate Planning Team and to be able to offer this strategy to their own clients.
What is a Deferred Sales Trust
If you consider the sale of a highly-appreciated asset – business, corporation, or investment in real estate – you may face capital gains taxes associated with this transaction. A Deferred Sales Trust (DST) is a legal contract between you and a third-party trust in which you sell real or personal property or a business to the Trust in exchange for the Deferred Sales Trust’s contractual promise to pay you a fixed sum over a prearranged future period in the form of an installment sale note or promissory note. A DST gives you the ability to control your capital gains tax exposure, reinvestment terms, and installment payments made from the Trust.
Possible Transaction Types Include:
Single Family Residence, Rental Property / Condo, Apartment Units, Commercial Property, Industrial Property, 2nd home, Raw land, a Business, Investment products such as stocks, High value collectable such as Art, Classic Cars, Sports Memorabilia, Gems, etc.
Summary of DST Benefits for Clients:
- Tax Deferral
- Diversified Collateral as desired by the Seller/Taxpayer
- Common Investments include: Stocks, Bonds, ETF’s, Annuities, Mutual Funds, REIT’s or Green Energy Funds
- Seller/Taxpayer Protections to secure your sales proceeds and protect the integrity of your DST.
- Higher, Stable Cash Flow
- Reinvest into real estate, etc., at the opportune time if so desired
An Optional 1031 Exchange Rescue, Bail Out, Exit Strategy or Simply A Way Out
1031 Risks & Disadvantages
- Rigid Rules and short deadline: clients have 45 days to identify exchange property and 180 days to close. If exchanges fail, all taxes are due. Nationwide, 30-40% of 1031 exchanges fail.
- A risk-free DST could be established as a backup plan in case the 1031 fails.
- A DST buys time: a DST could provide a seller with more time to find the right upside or wait for better market conditions to buy into.
- A DST provides depreciation basis reset when buying an upside property.
Partnering with Reef Point
You could become a business partner or affiliate of Reef Point if you desire to receive deeper education and knowledge about a solution to a problem affecting many of your clients; access to further training and even marketing assistance designed to drive growth in your core business. Most importantly, Affiliates can benefit from the DST by creating a competitive advantage that leads to more listings and sales by the real estate professional, more businesses successfully sold by business brokers, more tax consulting and tax preparation work by CPA’s, new billable services by attorneys and more assets under management for investment and insurance professionals.
The obvious benefit for the investment professional is when he or she has a client or prospect that has a highly appreciated business, real property, collectibles, concentrated stock, etc. is to help that client or prospect sell that asset, defer their taxes and generate new assets under management.
By partnering with Reef Point, you become part of a team of professionals collaboratively working to serve a client’s tax deferral objectives. As a Reef Point partner you’ll gain the following:
- Education by Reef Point on all facets of DSTs so you can better serve your clients
- Marketing assistance and content
- Client PowerPoint presentations
- Seminar tool kit
- Help in analyzing potential transactions with you
- Collaboration with you, your clients, and their advisors
- The support of tax and estate planning experts
- Personalized lead generation websites
- Regular training webinars
- For Investment Advisors, you’ll grow more assets under management
- For Real Estate Professional, you’ll increase listings opportunities and provide clients with value add services
- For Business Brokers & M&A Professionals, you can offer “A Way Out” and sell more businesses
- For all partners, you’ll Create a Competitive Edge and Value Add Service over the Competition
Already a Partner?
Click here to sign into your partner resources page: Partner Login
In the partner resources page, you will find client pitch decks, case study examples, and sales materials, presentations and more. If you are not already a partner and would like to explore the benefits of becoming a partner, please scroll down and fill out the form in the next section.