An intellectual property owner can minimize taxes by selecting the best state or overseas domicile and inter-company licensing mechanisms. The general concept is to move a company’s portfolio of intellectual property (trademarks, copyrights, patents, even unpatented technology) to a venue with low or no state income taxes on passive income.
Income that otherwise would be taxable by the state or IRS in which a company is conducting its business operations can be converted into nontaxable passive income in another jurisdiction, with a corresponding tax deduction in its home state.
The professionals at CONSOR can offer expert advice as to the best way to maximize the value of your IP portfolio while reducing the tax penalties.