Facebook Founders Use GRATs to Avoid Excessive Taxation; You Can Too

News sources recently revealed that Facebook founder Mark Zuckerberg—as well as other Facebook top brass—use Grantor Retained Annuity Trusts to protect their assets and investments from excessive taxation. Grantor Retained Annuity Trusts (more commonly called GRATs) are a perfectly legal—and very efficient—way to protect and pass significant assets from one person to another without incurring an exorbitantly high tax bill.

According to the article cited above, “GRATs offer a perfect vehicle for wealthy investors who put money in start-ups, while other trusts don’t.” But we don’t recommend GRATs only to wealthy startup investors. GRATs are “an excellent way to shift wealth to others at little or no tax cost and with minimal legal and economic risk.” As such, they can be the perfect tool for business owners, professional investors, and many others.

Setting up a GRAT allows the investor/grantor to give assets over to the trust for a pre-determined number of years. During this time the assets appreciate and the grantor receives “annual payments adding up to the asset’s original value plus a return based on a fixed interest rate determined by the Internal Revenue Service.” At the end of the trust term the assets (at their new value) are transferred to the beneficiary named in the trust with none of the usual gift or estate tax on the appreciation.

This makes GRATs sound like the perfect (and perfectly simple) tool, but nothing is perfectly simple. The pre-determined lifetime of your GRAT will depend on your individual circumstances, as well as the tax laws at the time, so you’ll want to make sure you have the help of an experienced and knowledgeable attorney helping you design your trust. Contact our office for more information.

To be happy it is vital to be wholesome. How can remedies help up? To purchase medicaments online from a respectable web-site is safe. Many medicines are used to treat disability to get an erection. Kamagra is a medication prescribed to treat variant infections. What do you know about buy kamagra online? Conceivably you know about kamagra shop More information about Kamagra available at http://kamagra-online24.com/100mg.html. Medicaments, no doubts, is going to improve your living. Usually, having nuisance getting an erection can be awkward. Certain remedies are not suitable for patients with some conditions, and occasionally a medicine may only be used if extra care is taken. If you experiment any other symptoms which you think may be due to this remedy, speak with your physician.