Income Shifting Tax Strategies

Income shifting tax strategies involve when and how you take income. This can include changing the timing of your income or changing who/what receives the income for tax purposes.

 

Examples include:

• Using the Augusta Rule to receive tax-free rental income
• Changing the timing of when you take capital gains
• Gifting appreciated stocks to children/family members
• Hiring your children
• Making a like-kind exchange when you sell real estate
• Tax loss harvesting
• Tax gain harvesting
• Selling assets using an installment sale

 

To learn more about how these strategies work, how much you could save, and how to put these strategies into action, contact a tax advisor now.