DST Advisors

FAQ

Below please find a list of some of the most frequently asked questions regarding the Deferred Sales Trust™. Please feel free to contact us or set up a call time by clicking the "Get Started Now" button in the section further below to answer any additional question you may have or to discuss or the specifics of how you may wish to utilize the Deferred Sales Trust™.

How can I know the amount of my payments from the trustee?

The payments are based on what you, the Seller/Taxpayer, arrange and pre-negotiate with the DST trained and approved trustee. Depending on your income goals and other objectives, the amount and length of term of the installment sales note are your choice and subject to your 100% agreement.

What happens if I die?

With proper estate planning (i.e., by creating a living trust) scheduled installment note payments otherwise due to you can continue to pay your legal heirs pursuant to the note term that you have chosen.

Are there any flexibilities or variability in the payment stream, such as increasing the payments over time?

Yes. The DST trained and approved trustee, in their absolute discretion, may allow you to refinance your installment sales note in order to extend or shorten the note term or to provide you with payments (or greater payments) of principal (and should you decide to take an "interest only" note initially).

Can I cancel the whole deal after a few years and get my money?

If the DST trained and approved trustee deems appropriate, they may elect to terminate the installment agreement sales contract. However, you would immediately owe all the taxes, including all unpaid capital gains due from the original sale of the property/capital asset.

What happens if capital gain tax rates are changed after I set up the DST?

Politicians, from time to time, discuss changing the capital gain rates. If that happens you would pay the new rate on the capital gains portion of your installment note payment. However, there is usually adequate notice to make a sound financial decision prior to any such change in taxation or tax rates.

Can I use my installment sales note to get back into real estate?

Yes. Please contact us discuss this option. We recommend that you work with our team's group of professional advisors who are experienced in trust law, trust asset management and tax law.

When the trust sells the property may I keep some of the cash from the sale?

Yes. In that case you would pay taxes only on the capital gain portion of the money which you kept for yourself outside the trust.

How can I have my tax advisor or attorney analyze the DST strategy?

For detailed technical information, have your lawyer contact us to discuss your your scenario with our team. The names Deferred Sales Trust and DST are common law trademarked names and are not found in the code. All of the legal and tax authority used in the DST are in the tax code, treasury regulations, cases, or rulings based upon the foundations found within the tax law.

I am interested in finding out if this works for me? What should I do next?

It's very easy. Your next step is complete a simple online form and then select a time for a call with a DST specialist. On the call we will go over your specific set of circumstances, answer any questions you may have, and request any additional information we may need to prepare an complementary DST illustration for your review. This illustration will summarize your particular facts circumstances surrounding your potential sale as it relates to utilizing the DST. Once you have received the illustration summary, you can then review this information with a trust case manager and share this information with your CPA or tax attorney for further review.

To get started click HERE to navigate to our online form or call us at (877) 916-3686. We look forward to assisting and discussing how you can benefit from utilizing the Deferred Sales Trust™.

IRS Circular 230 Disclosure: To ensure compliance with requirements imposed by the IRS, we inform you that any U.S. federal tax advice contained in this communication (including any attachments) is not intended or written to be used, and cannot be used, for the purpose of (i) avoiding penalties under the Internal Revenue Code or (ii) promoting, marketing or recommending to another party any transaction or matter addressed herein.

The information provided on this website is for educational purposes and is solely intended to provide and overview on how the Deferred Sales Trust™ works and can be implemented. DST Advisors and the Estate Planning Team do not provide legal, tax professional services, or advice. Each transaction and individual circumstances vary widely and participants are strongly urged to seek independent legal, tax and professional advice.