【Tax Optimization Trust: Strategic Planning to Reduce Tax Burden】

Mr. Ji is a major shareholder of a publicly listed company, holding a large volume of company shares.
He also owns multiple real estate properties and financial assets.
Each year, he faces substantial tax expenses related to business operations, asset transactions, and wealth succession.
With increasingly stringent tax policies, he sought to legally and compliantly optimize his tax costs to preserve the actual returns on his family’s wealth.
Thus, he decided to establish a tax optimization trust.
Mr. Ji collaborated with a professional trust institution and a team of tax advisors,
injecting a portion of his more liquid financial assets and anticipated future dividend income into the trust.
The tax advisors, based on the latest tax regulations, worked with the trust institution to design the trust structure,
transferring asset ownership to the trust and leveraging its special legal status,
to enjoy tax advantages in asset transactions, income distribution, and wealth succession.
For example, after placing dividend income into the trust, reasonable investment operations and distribution strategies
helped lower both corporate and personal income tax burdens.
Regarding real estate transactions, holding properties through the trust
optimized the tax costs associated with property transfers.
At the same time, the trust clarified the tax treatment rules for income distribution, ensuring that the tax planning remained lawful and compliant.

Through the use of a family trust, he successfully achieved reasonable tax optimization.

By establishing the tax optimization trust, he significantly reduced the corporate and personal
tax costs involved in asset transactions, income distribution, and wealth succession,
thereby increasing the actual retention rate of the family's wealth,
protecting and enhancing the family's assets,
and laying a stronger financial foundation for future wealth succession.
By leveraging the legal framework and tax policies associated with trusts,
scientific planning was applied to asset transactions and income distribution,
legally reducing corporate income tax, personal income tax, and other tax burdens,
thus enhancing the actual returns on the family's wealth.