Yet another reason to slash your taxes to zero

I’ve long been vocal about my belief that if you have a problem with your government, you should vote.

But not vote in the traditional sense, i.e. stand in line at a polling station and be forced to choose between the lesser of two evils… or perhaps more appropriately, the evil of two lessers.

Traditional voting is a demeaning and pointless activity.

In most cases your vote doesn’t really matter; national elections are typically decided by a handful of voters who fit an extremely specific demographic in swing states.

Not to mention, your fellow voters can be so easily manipulated. Sometimes it seems that clear, independent thinking is the rarest substance in the world.

So instead of wasting your time with traditional voting, I’ve long argued that voting with your MONEY is a far more powerful option.

In other words, if you disagree with your government and think they’re all a bunch of crooks and buffoons, you should consider taking every legal means at your disposal to reduce the amount of money you pay them in taxes.

Restrict their resources and starve the beast.

And no matter where you are in the world, there are almost always completely legitimate ways to do that.

There’s absolutely zero downside to doing this. Slashing your taxes is free money, with ZERO risk. There’s literally no other investment you can make with that sort of risk-free return.

In the Land of the Free, there is one -very- unique way to cut your taxes that we’ve discussed a number of times. It’s called Opportunity Zones.

And at the risk of repeating myself, I think that EVERYONE ought to consider this. Because this benefit won’t be around forever if the Bolsheviks have anything to say about it.

[And EVEN if you’re not from the US… or you don’t have capital gains to invest, you can STILL benefit from this. Keep reading.]

As I’ve explained previously, Opportunity Zones are areas within the United States (including Puerto Rico and the District of Columbia) that meet certain qualifications as being economically underdeveloped.

And recent changes to the tax code now allow investors to roll their gains into various opportunity zone investments with some really extraordinary benefits.

Here’s an example:

Let’s say you’ve been investing in something simple like Apple stock. You bought 10,000 shares of Apple in late 2012 at around $80, for a total purchase price of $800,000.

The stock price is now around $200, so your shares are worth $2 million… meaning you made a $1.2 million capital gain. Congrats.

The new tax rules allow you to take that $1.2 million worth of gains and make qualifying investments in Opportunity Zones.

You won’t have to pay capital gains tax on that $1.2 million for another SEVEN years. And when you do, you’ll pay a reduced rate.

More importantly, any ADDITIONAL gains you make on that $1.2 million through your Opportunity Zone investments will be tax free FOREVER.

Plus, the types of investments that quality are far reaching: you could start a business, develop real estate… all sorts of options.

And that’s the new part I wanted to tell you about: real estate in Opportunity Zones is already doing extremely well.

A recent report by Zillow showed that real estate prices in Opportunity Zones have increased by more than 20% since the legislation was passed in late 2017.

In fairness, that 20% increase is up from a very low level– real estate prices in Opportunity Zones were already depressed and far below more economically developed areas.

But there’s a LOT more room to grow.

The Economic Innovation Group estimates that there are TRILLIONS of dollars in capital gains that could be invested in Opportunity Zones. If even a fraction of that actually gets invested, it will have a substantial effect on real estate prices in those areas.

And ANYONE can buy property in an Opportunity Zone, regardless of whether or not you’re a US citizen.

So this is definitely something to think about.

I do think there is a strong chance that the Bolsheviks shut this program down once they come to power… which could potentially be during next year’s US Presidential election.

And if they do, it will close down the flow of money into these underdeveloped neighborhoods and possibly slow the growth of real estate prices. So you should factor that risk into your decision-making.

But it’s also a great reason to get started as soon as possible.

If you do have capital gains, taking some money off the table and rolling those gains into an Opportunity Zone investment (through a fund that you set up) is a no-brainer. It’s free money.

You could start a business in an Opportunity Zone with your investment gains, sell that business for a fortune down the road, and legally never pay a dime of tax on the sale.

We’ve already detailed Opportunity Zones for our premium Sovereign Man: Confidential members.

If you are not a member yet, you can download a redacted preview of the report or join Sovereign Man: Confidential for just $995.

This report isn’t for everyone… But if you’re currently sitting on ANY capital gains and you’re looking for a strategy to help save you a fortune in taxes, $995 is a small price to pay.

About the author

James Hickman (aka Simon Black) is an international investor, entrepreneur, and founder of Sovereign Man. His free daily e-letter Notes from the Field is about using the experiences from his life and travels to help you achieve more freedom, make more money, keep more of it, and protect it all from bankrupt governments.

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