Last Will and Testament or Trust
If you wish to retain your business ownership until death, you can simply bequeath your business to your named beneficiary by Will or trust. From an income tax perspective, this is a highly efficient structure, since it permits the individuals who receive the business to inherit it with a basis equal to its fair market value at the time of your death. If your children decide to sell the business, little to no capital gains taxes will be imposed on the sale. However,…
