Deemed disposition

[thespacebar]

How does it work?

 

[tribeca_regent]

if i remember correctly, deemed disposition is used when a client wishes to expatriate his wealth.
schweser mentioned deemed disposition is treated like a sale of the asset. so the client would expatriate his wealth and treat the expatriation as if a sale. so he’d pay all the required div/cg/wealth taxes associated with the disposition imo.

 

[paul1977]

Client moves tax residence to reduce taxes. To counteract this, the authorities apply a tax as if the assets were sold. This is deemed disposition (I think).

 

[S2000magician]

You nailed it, gents.