April 15th, Happy Tax Day!

This day can be a wonderful time of the year if you’re rich.

Don’t dread it.  Just look. My buddies have showed me all kinds of neat things.

Tax returnHappy Returns!

“For the well-off, this could be the best tax day since the early 1930s: Top tax rates on ordinary income, dividends, estates, and gifts will remain at or near historically low levels for at least the next two years. That’s thanks in part to legislation passed in December 2010 by the 111th Congress and signed by President Barack Obama.

“This is clearly far and away the most generous tax situation that’s existed,” says Gregory D. Singer, a national managing director of the wealth management group at AllianceBernstein (AB) in New York. “It’s a once-in-a-lifetime opportunity.”

For the 400 U.S. taxpayers with the highest adjusted gross income, the effective federal income tax rate—what they actually pay—fell from almost 30 percent in 1995 to just under 17 percent in 2007, according to the IRS. And for the approximately 1.4 million people who make up the top 1 percent of taxpayers, the effective federal income tax rate dropped from 29 percent to 23 percent in 2008. It may seem too fantastic to be true, but the top 400 end up paying a lower rate than the next 1,399,600 or so.”

But there are many more great ideas to avoid paying taxes if you have the assets.

“From 2003 to 2008, for example, Los Angeles Dodgers owner and real estate developer Frank H. McCourt Jr. paid no federal or state regular income taxes because he availed himself of a tax code availblae at the time that permitted purchasers of sports franchises to defer income taxes.”

Source:  Bloomberg Businessweek

Have company shares and want some cash but don’t want to pay any capital gains taxes? There’s “The No-SaleSale.

Have 50/50 ownership in an office tower and want to leave some dough behind without paying inheritance tax?

Do “The Skyscraper Shuffle“.

No buildings but lots of stock? No problem.

There’s “The Estate Tax Eliminator“.

Want to leave a collection of income-producing assets to your children and avoid a federal estate tax bill? How thoughtful. It brings tears to my eyes.

Do “The Trust Freeze” with defective trusts.

Ok. So you’re working on your employment contract and a company is offering you millions in shares.

I hear “The Option Option” so you don’t have to pay pesky taxes on them.

Have some capital-gains income from sold-off stock laying around but have some other shares that went south,

Do “The Bountiful Loss” and shake it all about.

Have some income-producing real estate but it’s fully depreciated so the tax base is $0 but want to sell it?

Make sure to do “The Friendly Partner” to avoid any capital gains tax. “The Friendly Partner” loves me more than my ex-wife.

Anyway, be creative and the list can go on and on. Make this a happy day!

Taxes?!  Where’s my little Tea Party friend?  Those AFL-CIO people over there want some retirement benefits. It’s breaking our pocketbooks. Other workers don’t have retirement benefits, why should they?

Stop them!

Tax Day: Make Them Pay

And don’t forget today’s tricks.  Sweet!

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