Will a Bifurcated 1031 Exchange Achieve Your Investment Goals – Part 1 | Reefpoint LLC

Will a Bifurcated 1031 Exchange Achieve Your Investment Goals – Part 1

Today we begin a new 2-part series on one of the most innovative ways in which to do a 1031 exchange: bifurcation with a Deferred Sales Trust (DST). In Part 1, we’ll explain how a bifurcation works. In Part 2, we’ll explain an alternative you may wish to consider. As you likely already know, Internal …

Read moreWill a Bifurcated 1031 Exchange Achieve Your Investment Goals – Part 1

How Are DST Funds Protected? | Reefpoint LLC

How Are Deferred Sales Trust Funds Protected?

In previous articles we discussed how the Deferred Sales Trust (DST) is a specialized form of installment sale authorized by Section 453 of the Internal Revenue Code. In a DST Trust installment sale, the entire course of the transaction and its continued operation revolves around a secured installment note in favor of you, the seller. In this context, “secured” means that all of the assets in the DST serve as collateral, i.e., security, for repayment of money to you per the note’s terms.

How Are Capital Gains Calculated? | Reefpoint LLC

How are Capital Gains Taxes Calculated?

Capital gains taxes stand to take a big chunk out of your profits when you sell an asset. However, like most taxes, there are many things that go into the exact calculations of the capital gains tax you will pay. Remember that capital gains tax applies to a variety of different assets, including stocks, property and businesses. A unique factor of capital gains tax is that the amount of tax depends heavily on how long you had the asset. Depending on the state you live in, the state government may also levy capital gains taxes in addition to the federal government.