@originaldohnthornton: If you own timberland…
you already know the real money comes when the timber gets harvested and sold.
And when those sales happen?
The profits can become enormous.
That’s where the problem starts.
Most timber owners hold the land personally or through LLCs / Corporations that are still fully taxable and publicly visible.
So when the timber sale closes…
massive taxable events can get triggered.
And while the timber is being held long term…
the ownership trail stays exposed in public records, creating lawsuit and liability exposure.
But when timber assets are held inside a contract law spendthrift trust…
the profitable timber sales flowing through the trust do not create taxable events.
Meanwhile, the trust provides powerful lawsuit protection and far greater anonymity because it is not publicly registered with the state like an LLC / Corporation.
Same timber.
Completely different financial outcome.
(Info purposes only; not a licensed tax, legal, or accounting professional) #taxdeductions #taxsavings #taxreduction #timber
