Business and Real Estate Sales
Dorko Wealth & Estate Planning provides legal and financial solutions to clients contemplating an important transaction.
Contact us if you are:
- A Seller of a highly appreciated asset (Real Estate or Business) wanting to legally reduce your capital gains tax.
- An executor or Trustee dealing with an Estate and Trust Administration.
- A Commercial Real Estate Agent or Business Broker with sellers who need tax reduction strategies.
As lead attorney, Jeff Dorko utilizes his 30 years of experience, his advanced law degree in taxation and MBA in Finance to provide you with thoughtful legal guidance and advanced tax savings strategies.
We are happy to work along with your current professional CPA, financial advisor, and business attorney.
Tax planning options for Sellers
- Cash out. You take the sale proceeds and pay a combined capital gains tax of over 26%. (Federal rate 20%, PA rate 3.07%, Net Investment Tax 3.8%.)
- Installment Sale. The buyer agrees to pay you over time. The main risk is that the Buyer will default on the payments.
- 1031 Exchange. The 1031 IRS rules are complex, but this method can defer taxes indefinitely. See the brochure Cantor Fitzgerald’s 1031 Exchange and DST Brochure from our strategic partner, Cantor Fitzgerald.
- Deferred Sales Trust. Can defer taxes indefinitely on the sale of both real estate and the sale of a business. Even the part of a business gain attributed to “goodwill” can be deferred. See our link to Deferred Sales Trust.
Deferred Sales Trust Strategies
A Deferred Sales Trust has the potential to generate more money over the long run than a direct and taxed sale. This capital gains tax deferral tool could save you thousands of dollars, and at the same time, you would then have the opportunity to potentially make a profit on the money you would have paid to Uncle Sam in the year of the sale.