Creative Techniques for Minimizing Exposure to Creditors and Taxes
Real estate LLCs can provide the benefits of asset protection and reduce taxable income. Are you prepared to set up a plan to concretely protect your clients’ interests? Discover how entity selection will impact your clients so you can properly choose what is right for them. Incorporate strategies for weighing tax risks, smoothly transferring the title, avoiding LLC veil piercing and much more. Ensure everything is set up in a way that protects your clients’ best interests – register today!
- Learn strategies for setting up the best entity selection option for your client’s real estate investment.
- Protect your clients from liability by organizing a series LLC that best fits their needs.
- Minimize veil piercing risks in order to avoid exposing individual members to personal liability.
- Set forth the legal rights and responsibilities of each member with a comprehensive operating agreement.
- Properly transfer title to an LLC in a way that protects your clients’ assets.
- Incorporate strategies that minimize your client’s real estate tax burden.
- Entity Selection Considerations and Strategies
9:00 – 9:45, John T. Banjak
- LLC? LLP? S-Corp? C-Corp? Other?
- Which State is Best and Worst for LLCs?
- Applicable Statutes and Case Law
- Selling Equity Interest in Lieu of Deed
- Selling Equity in the Existing LLC
- Using LLCs to Purchase Tax Deed Property
- Illustrative Techniques in Forming LLCs
- Drop-Swap Transactions
- How Planned Use of Property Impacts Structures
- Transferring the Real Estate Title to Your LLC – Do’s and Don’ts
9:45 – 10:30, John T. Banjak
- The Impact of Transferring a Property in or out of an LLC on the Underlying Mortgage
- Types of Transfers
- How to Transfer Real Estate Into a Newly Formed LLC
- Insurance Considerations, Issues and Pitfalls to Avoid
- Tax Strategies for Real Estate LLCs
10:45 – 11:30, John T. Banjak
- Tax Reform Changes and Their Impact
- State Tax and Federal Tax Implications
- Step-Up Basis – How to Deal with it
- Preserving Tax Benefits for LLC Members
- Partnership Tax Considerations
- Transfer Tax Considerations
- Real Property Tax Considerations
- Important Tax Deductions
- 1031 Exchanges
- Creative Ways to Minimize Real Estate LLC Veil Piercing Risks
11:30 – 12:30, James A. Borchers
- Pitfalls in the Type of Corporate Entity
- Factors and Weaknesses that Courts Consider
- Alter Ego Doctrine – When Does it Apply?
- Analysis of a Claim
- Primary Asset Protection Rules and Laws for Real Estate Investments
- Charging Orders
- Setting Up Real Estate LLC Operating Agreements and More
1:30 – 2:30, Mark F. Mueller
- Purpose of the Operating Agreement
- Management and Voting Provisions
- Buy-Sell Provisions
- Financing/Mortgage Application
- Purchase Agreement
- Capital Contributions
- Roles and Responsibilities
- Transfer Limitations
- Dissolution Considerations
- Succession Planning Through LLCs
- Federal Tax Audit Provisions
- Using Series LLCs for Real Estate
2:45 – 3:30, Daniel R. Schramm
- What is a Series LLC? Advantages and Disadvantages
- Compartmentalization Strategies
- Identifying Managers, Members and Cells
- Handling Multiple Investors/Partners
- Profit/Loss Distributions
- Dispute Resolution
- Ethical Considerations
3:30 – 4:30, Gary M. Siegel
- Avoiding Conflicts of Interest – Entity vs. Individual
- The Role of the Attorney as Advisor in LLC Formation
- Confidentiality – Information Derived from an Earlier Representation
- Attorney Fees
This intermediate level seminar is designed for attorneys. Accountants, banking professionals, real estate professionals, title insurance professionals, tax preparers and paralegals may also benefit.