Death and Taxes

Did you ever own a file or a piece of property that you want to sell? You felt the time right on their profits and run. Did you not follow through with the sale, because "the taxes would murder me?" This is what I call "decisions based on taxes." Not "Good Horse Sense". What is common sense? That is what the horse knows that a place is dangerous, and it will not move. Driver, I do not see the danger, then press the horse forward, but the horse refuses. People often do not trust their "common sense". Women are known for their "instincts" about people. Men are not always as "sensitive" and his instincts as women.

The stock market is smart money always said: "Bulls make money. The Bears make money. Pigs lose money." What does this mean? This means: "Never be afraid to win. "When it's time to sell, sell! Take your profits and wait until the time is ripe to return to inch Taxes that sometimes very difficult.

Then again, if you do not want to sell when you think the timing is good, you can lose 100% of profits and some of the most important. It is always smarter to your business decisions at first. It is also very important that the tax consequences, but good business decisions. Once you've decided what to do based on sound business strategy, you will see your tax accountants and figure out how to deal with, as you pay the lowest taxes. We do not reverse. What to sell if the tax loss, or loss, because it would pay no taxes.

Many investors, because of the fear of taxes, investment hero all the way up and then all the way down. Economy will take place from 7 to 10 years of boom and bust cycles. Sell; buy in the booms and busts. If you do not sell at the top, there is no money to buy at the bottom. If your book value, its price will be the shelter sales. Do it for sale, so you can see how the structure of trade. If you can not help you win new accounts. Accountant's job is to do your tax return. This is to advise you how to pay the least tax using all legal tax avoidance techniques by the IRS.

I have a friend who owned one million shares of Microsoft. One million dollars in value of Microsoft was the only property. He was an employee of the company and received stock options. He came to me worried about the company and asked me what I should do. I suggested that he sell the entire park and the purchase of property. He was afraid to change horses and pay income tax him. He decided to remain with Microsoft. Two months later, Microsoft lost a court and the stock collapsed. Now I say "When I go back would be able to expand." How much you want to bet on him doing something wrong? "Once the horse from the stable, it is too late to close the gate."

And the man who the owned an apartment building in the worst parts of San Bernardino. In 1991 he was offered $ 600,000 for his buildings, but he refused because of his concern about the taxation of capital gains, which would have to pay. Over the next 8 years, San Bernardino economy downs the hill, along with real estate prices. The building was destroyed and it was finally up. He sold the building to a person who thought he could restore the building. He could not, and our man was and took the building back. Again, he sold the building for $ 280,000 this time.

This second buyer also could not make it work and now the second buyer stopped payment. It is also about the building back. Our man has less money, but try to stick as closely as possible that the old price of $ 600,000. Therefore, it is still selling and financing of real estate for a better price. He never learned that sometimes it is better for the money and run.

Never bet the farm on the sure thing. The only thing certain is death and taxes. Remember also that the bank will not be pleasant, if you're in trouble. Always have enough cash, and keep your costs down, so you always money for food, insurance, gas, etc., and a low house payment. Court might be a good tax advice, but can not be good business advice. So never act on the basis of taxation.