Great tax planning can lower and defer the tax you pay, freeing up cash for investment, business or personal purposes. The Sheffield Law Office regularly saves clients significant sums of money creating and implementing strategies designed to reduce the impact of taxes on property you own.

Two words describe most of what we do in estate tax planning: freeze and fractionalize.

We can freeze the value of of your estate so, as your property appreciates in value, no additional taxes will be owed on that appreciation. Some common planning techniques used to freeze the value of the estate include GRATS,QPRTS,Private Annuities, and Instalment Notes.

The biggest enemy in tax planning is not IRS, it is procrastination. To accomplish the best result with your taxes, planning should be done well in advance. The earlier the planning starts, the more tax savings can be realized.

We can fractionalized the value of your enemy by splitting the ownership interests in the property. This allows us to discount the value of the property for tax purposes. Additional discounts are allowed for lack of control or for having a minority interest in the property. Some common planning techniques used to fractionalize property values include Lifetime Gifting, Family Limited Partnerships(FLPs), and Limited Liability Companies (LLCs).

In addition, much of what we do is income tax planning with estate tax ramifications. The Sheffield Law Office works with clients to create and implement strategies designed to reduce the impact of capital gains taxes on the sale of your property.