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A new tool GGTrust is creating to allow people to send their assets offshore, TAX FREE (meaning that you can send off your capital gains, so you don't have to pay taxes on them, hint hint), guarantee yourself a yearly or monthly income, invest for your posterity, and benefit GGTrust projects as well! More soon, but please read the following excellent article from our friends at Sovereign Wealth Management have written this excellent article on Private Annuity Contracts. https://www.offshore-protection.com/private-annuity-contract.html
Private Annuity Contracts
The following overview is geared towards U.S. residents but much of this would be applicable to those living in other jurisdictions where capital gains taxes on appreciated assets would otherwise be levied. This solution provides a viable way of postponing and spreading out such taxes, whilst providing a host of other valuable benefits.
A Private Annuity Contract (PAC) is a contractual arrangement between an individual (referred to as the "Annuitant") and an entity, that is not in the business of selling annuities, typically a foreign corporation (known as the "Obligor").
In a PAC transaction, the Annuitant transfers cash or other property to the foreign Obligor in exchange for the Obligor's promise (which is documented by the annuity contract) to make periodic payments to the Annuitant for a specific number of years, usually for the remainder of the Annuitant's life.
Assets may be "Appreciated Property" and the recognition of any taxable gain (capital gains or ordinary income) inherent in the asset may be postponed even though the assets (stocks or real estate
READ MORE
Private Annuity Contracts
The following overview is geared towards U.S. residents but much of this would be applicable to those living in other jurisdictions where capital gains taxes on appreciated assets would otherwise be levied. This solution provides a viable way of postponing and spreading out such taxes, whilst providing a host of other valuable benefits.
A Private Annuity Contract (PAC) is a contractual arrangement between an individual (referred to as the "Annuitant") and an entity, that is not in the business of selling annuities, typically a foreign corporation (known as the "Obligor").
In a PAC transaction, the Annuitant transfers cash or other property to the foreign Obligor in exchange for the Obligor's promise (which is documented by the annuity contract) to make periodic payments to the Annuitant for a specific number of years, usually for the remainder of the Annuitant's life.
Assets may be "Appreciated Property" and the recognition of any taxable gain (capital gains or ordinary income) inherent in the asset may be postponed even though the assets (stocks or real estate
READ MORE