Reducing Expenses on the Sale of Equity

By placing pre-IPO stock in a New Hampshire trust with Fiduciary Trust of New England, a client reduced their tax liability.

Fiduciary has a client who owned stock in a company that had the potential to go public. Our client decided to contribute a large amount of the stock to an irrevocable trust administered in New Hampshire with Fiduciary Trust of New England (FTNE) as Trustee when the stock had a lower value. Eventually, the company went through an IPO and the stock’s value increased dramatically. As a result, any future capital gain on the stock’s increased value will not be taxed for state capital gains tax purposes because the trust is an irrevocable, non-grantor New Hampshire trust with a New Hampshire Trustee (FTNE).

Learn more about us.

Talk to a Fiduciary Trust Advisor