In this interview, Karlton Dennis, a business owner and tax strategist, shares insights on how to legally minimize tax liabilities. He discusses strategies such as income shifting, depreciation through real estate investments, and philanthropy via private family foundations. He emphasizes the importance of entity structuring, particularly switching to an S corporation, and leveraging business expenses. Dennis highlights the difference in approach between middle-class and wealthy individuals regarding tax planning, noting the speed and willingness of the wealthy to invest in tax-saving strategies. He also provides specific examples, including using short-term rentals and cost segregation studies to offset income, and explains how to utilize debt for asset acquisition and tax benefits, such as with vehicles over 6,000 pounds. Additionally, he shares a tax hack involving the Augusta rule, allowing individuals to rent out their primary residence for up to 14 days tax-free.
