How does federal tax planning connect to business succession and exit planning?

Federal tax planning and business exit planning are deeply and inextricably linked — the structure of a business transition, the timing of a sale, and the form of consideration received all have profound federal tax consequences that must be addressed proactively and well in advance of the transaction. Decisions made years before an exit — including entity structure, the use of qualified small business stock exclusions under Section 1202, installment sale planning, charitable strategies, and compensation structure — can have a dramatic impact on the after-tax proceeds a business owner ultimately receives. Yeo & Yeo’s federal tax professionals work in close coordination with our business transition advisors and valuation professionals to ensure the federal tax strategy surrounding your exit is planned with enough lead time to make every available strategy executable.