The Core Team of Professionals That Create and Manage DSTs | Reef Point

The Core Team of Professionals That Create and Manage DSTs

There is rarely a single person behind any wealth management strategy, and a Deferred Sales Trust is no different.

A DST has two beneficial uses: First, it allows you to structure an asset sale to defer the capital gains tax payments indefinitely. Second, it provides a vehicle for you to invest the full proceeds to best suit your financial and lifestyle objectives.

Is the Deferred Sales Trust Too Good To Be True? | Reef Point LLC.jpg

Is the Deferred Sales Trust Too Good To Be True?

Sellers of highly appreciated assets including owners of real property and businesses are keenly aware of the tax ramifications of selling their assets.  People will choose to sell their businesses or property for many reasons, including health reasons, lifestyle choices, a desire to be free of the time and other commitments required to manage such assets.  Many owners are reluctant to sell their appreciated assets because of the tax burdens they may face, even when doing so is at odds with the goals they desire and could achieve by selling.

How Your DST Investments Can Help the Community | Reef Point LLC

How Your DST Investments Can Help the Community

The current economic, political and social climate has a lot of us feeling like humanity is about to fall off the edge of the world. Okay, that’s overstating it a little. But still, the CDC predicts new COVID-19 cases could hit at least a dozen states hard in the next four weeks. Governments are scaling down or halting reopening phases. The New York Times reports that long-term unemployment projections remain grim.

Use a Deferred Sales Trust to Work Around 1031 Exchange Limitations | Reef Point, LLC

Use a Deferred Sales Trust to Work Around 1031 Exchange Limitations

An IRS 1031 exchange is a fantastic tool for an investor to transfer a real estate asset into another without recognizing a taxable capital gain. However, there are limitations of its use and strict rules governing its use: like-kind limitations, time windows and asset type restrictions. If you wish to diversify your real estate asset into other investments or if your asset is not real property to begin with, then you need a 1031 exchange alternative like a Deferred Sales Trust.