Sentences with phrase «avoid taxation of»

Trust funds avoid taxation of the policy as it is paid out to your estate as well, allowing your child to receive more of the money, and in a method that gives them the most benefit.
But, felt to avoid the taxation of the same as LTCG, am considering the option of investing in Balanced Funds.

Not exact matches

The S corp long reigned as the way to avoid the C corp's double taxation, but the arrival of the more flexible LLC has diminished the S corp's star.
In the case of the small business, most if not all of the company's profits are used to pay salaries and fringe benefits, which are deductible, and double taxation may be avoided because no money is left over for distributing dividends.
Furthermore these pass - through vehicles avoid the devil of «double taxation,» which sours the traditional corporate or «C corp» structure.
With the S corporation there's a tax advantage, since income and losses pass directly through to the owners and thus avoid the double taxation of C corporations.
Depending on how the company is established and how many employees / investors there will be, a small business startup often creates an LLC because this helps it avoid double taxation and can still support multiple classes of stock if needed.
In 1966 the 6 - volume report declared that fairness should be the foremost objective of the taxation system; the existing system was not only too complicated and inefficient, but under it the poor paid more than their fair share while the wealthy avoided taxes through various loopholes.
The fees are a «necessary evil,» she added, needed to «properly divide retirement assets, to properly assign the taxation of the benefits, and to avoid paying an early withdrawal penalty from a 401 (k) plan, which is incurred unless a QDRO is entered.»
However there is an interesting specialty with regard to dividends in Australia: They want to avoid double taxation of corporate profits and therefore every Australian holder of Australian stocks receives so called «Franking credits» when an Australian company pays dividends.
Starwood also pays out an excellent dividend of 8 %, as required by REIT legislation to avoid taxation at the trust level.
The amount of money repatriated could be substantial, with the Congress's Joint Committee on Taxation estimating that U.S. multinationals had as much as $ 2.5 trillion (as of 2015) offshore to avoid taxation.
Since there is no tax at the company level, Master Limited Partnerships essentially enjoy a lower cost of capital and avoid dividend double taxation.
In fact, an Internal Revenue Service (IRS) loophole known as the «like - kind exchange,» which had allowed crypto investors to sell one virtual currency and put that money to work in other digital tokens (a like - kind exchange) allowed investors to completely avoid taxation as a result of technicality.
Because of that election, S Corps are not taxed as corporations but as partnerships to avoid double taxation.
This is the solution used for pass through taxation entities, where deferral of taxation is avoided by the pass through mechanism that immediately taxes shareholders whether or not profits are distributed, but it becomes complex when the entity incurs taxes in many states that must be passed on to all of the owners to report proportionately on their individual tax returns.
One of the things the EU has done is to facilitate reciprocal credits among member nations of VAT credits for purchases from other EU members, which works, because none of the EU members is a tax haven with respect to VAT taxation, to avoid double taxation.
IMANI Ghana in the statement signed by its founder and president, Franklin Cudjoe further admonished the next government to transform the pensions sector, determine an optimal level of taxation, avoid wasteful projects and review the single spine salary structure.
Avoiding legitimate taxation is what I'm talking about - NOT a corrupt Labour Governments use of revenue as a cash cow for ludicrious pro Labour projects like ID Cards etc..
It was just announced that he will be directing a feature film about The Panama Papers, the leaked documents which revealed how many of the super-rich employ legal, but dodgy accounting systems to avoid taxation.
Critics maintain the Delaney measure would have amounted to a huge giveaway of tax revenue to companies in the midst of wide public concern over the use of so - called inversion deals to avoid taxation by relocating corporations overseas.
Even if you receive a Form 1099 - C from a lender, you still may be able to avoid taxation on the forgiveness of a debt.
Certain other types of debt, including qualified farm indebtedness and qualified real property business indebtedness, can also avoid taxation in the event of cancellation.
Private equity funds might float stubs of their holdings on the public equity markets in order to avoid taxation.
It is far better for the nation as a whole to have one set of strict rules on taxation that are almost impossible to avoid that the Swiss cheese tax code that we have gotten post-Reagan.
Subchapter M: A tax code provision favoring investment companies, avoiding double taxation of income.
Our government got wind of how people were avoiding taxation by investing large sums in small insurance policies.
Another aspect of avoiding confusion is that a 1035 exchange can be used for both qualified and non-qualified annuities and simply means that the account can be moved to a similar product without taxation in the same way as used for other life insurance products.
You can not rollover any part of the total amount distributed into your own IRA and thereby avoid taxation on the money.
In contrast, even though equities have substantially higher yields, a substantial proportion of these returns can be deferred, which avoids near term taxation.
If you or your spouse has RRSP room, you can transfer the AIP directly to an RRSP to avoid taxation subject to a limit of $ 50,000.
This should be done primarily by putting additional money to bonds instead of selling existing investments to avoid additional taxes (not sure if this applies to other taxation systems than the Finnish one).
I had suggested that this was where it would make sense to contribute immediately but defer the deduction, so as to avoid ongoing taxation of the funds if you simply waited to contribute.
«While legislators had valid reasons for promulgating the PFIC regulations, namely to discourage US citizens from deferring or avoiding US taxation by investing in non-US corporations, the PFIC rules are over-inclusive In practice, the PFIC regime captures assets that do not facilitate the legislative intent of preventing tax evasion and tax deferral.
Just say your a couple and want to retire in 10 years, so you together have 100,000 of TFSA room, you transfer in kind from the non-registered funds of the SM — then withdraw funds from the TFSA to avoid taxation and create room again to do it again the next year?
A company involved in only one profitable line of business would typically prefer selling out to liquidating because possible double taxation (taxes both at the corporate and shareholder level) would be avoided.
Exchange - traded notes, which are thought of as a subset of exchange - traded funds, are structured to avoid dividend taxation.
This comment is also theoretical — so what if we will we be able to do a transfer in kind of non-registered funds into a TFSA closer to retirement in order to avoid taxation and wash non-registered funds like those of the Smith Manouvre or other non-registered investments — so if we have 100,000 of TFSA room we transfer in kind from the non-registered funds — then withdraw funds from the TFSA to avoid taxation and create room again to do it again the next year?
(This is to avoid double taxation, one by the ADR's country of origin and one by United States) For tax - deferred...
One integral method of avoiding corporate and personal taxation is the spin off.
The Roth IRA is a special type of retirement account that makes it possible to avoid taxation on investment returns because you invest with money that you have already paid taxes on in the present.
If some of these countries have treaties with Australia - you can use the treaties to avoid double taxation, but if these countries don't have tax treaties with Australia - you'll end up paying taxes twice on the same money.
REITs are required to distribute 90 % of their taxable income to shareholders in order to avoid corporate - level taxation.
Such tax strategies may accelerate the recognition of income by the Fund (without the receipt of cash) and increase the amount required to be distributed by the Fund to avoid taxation.
The rhetoric is that share repurchases allow investors to avoid the immediate taxation of dividends.
The Dutch, wanting to get ahead and produce these ceramics on their own to avoid expenses and taxation, decided to make imitations, which eventually led to the establishment of the world - renowned Delftware enterprise.
To avoid complicated securities laws and the possibility of associated taxation, community solar project developers and administrators work from early stages to ensure that their projects are legally distinct from conventional, taxable investments.
By avoiding the use of absolute temperatures, the establishment can thus produce the desired agenda narrative, in a context vacuum, that our world is «rapidly warming» in order to persuade the public of favored energy / taxation policies.
Provisions exist to avoid double taxation and to estimate the carbon content of electricity from unspecified / unknown generation sources, and electricity sold by the Bonneville Power Administration (BPA).
In addition, LLCs avoid the kind of double taxation that C - Corps face.
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