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Third Party Independent Installment Sale aka Deferred Sales Trust
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Third Party Independent Installment Sale aka Deferred Sales Trust
Third Party Independent Installment Sale aka Deferred Sales Trust
Submitted by Intuit Tax Advisor Team on 02-14-2023 07:23 PMA Third party independent installment sale is a legal contract between the taxpayer and an unrelated third-party trust/trustee. Under the contract, the taxpayer sells a highly appreciated asset to the trust in return for structured future payments. The trust allows for the deferral of capital gains tax by breaking up the gain into installment payments.
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