Surgent's A Complete Tax Guide to Exit Planning

Overview

When exit planning, it is important to weigh various issues, including tax implications, to achieve an effective management and/or ownership change. Many envision tax-free reorganizations being the most preferable structure to avoid capital gains tax, but the opportunities come at a cost to the seller. This course will provide a well-rounded discussion of the various strategies to consider when advising on exiting a business.

Prerequisites

Basic knowledge of tax issues and entity structures

Objectives

• Understand key issues regarding exit planning
• Discuss tax implications of exit planning strategies
• Compare exit planning between entity types (C corporations, S corporations, partnerships, etc.)

Highlights

• Gain exclusion and tax-free reorganization planning
• Gain exclusion with sales of C corporation stock – Section 1202
• Deferral of gain with installment reporting
• Gain planning with partnerships
• Basis planning – basis step-up at death, gifts of interests to family
• Restructuring the business entity – C vs. S corporation, partnerships, LLCs
• Real estate planning – retention vs sales, like-kind exchanges
• Employee stock ownership plans – special tax incentives
• Employee benefit planning with ownership change
• Taxes other than the federal income tax – state tax, estate, gift and generation-skipping taxes, and property taxes
• Prospects for tax law change