Tactical Tax Planning®

NGMA engages in its own proprietary strategy called Tactical Tax Planning® (“TTP”). TTP is a system of evaluating and implementing tax planning based on an economic risk vs. reward analysis. It is not planning based on synthetic transactions or secrecy.

Tax Planning Risk

• Typically 1% - 1.3% of all returns are audited annually in high tax jurisdictions.
• Approximately 60% - 70% of audited returns are reassessed.
• About 2/3 of reassessments are settled and 1/3 go to Tax Court.
• Only 50% of Tax Appeals win in whole or in part.
• Therefore, there is a 0.50% - 0.75% chance of having to repay tax savings.
• The exposure is generally statute barred after 3-6 years.

Greatest Reward

• Active business income in excess of $250,000* after all expenses, including salaries.
• Personal income in excess of $250,000* after all living expenses.
• Corporate retained earnings in excess of $3 million*.
• Personal savings in excess of $3 million*.
• Capital gains (corporate or personal) in excess of $3 million*.

* or the equivalent in $USD or £ Sterling

Other Elements of TTP

• First and foremost, the tax planning meets the strictest provisions of the relevant tax legislation in the client’s home jurisdiction. We specifically stay away from planning that the Tax Authorities have identified as offensive from a policy standpoint.
• All clients must receive written tax advice from reputable lawyers or accountants, which protects them from administrative penalties under normal circumstances and allows them access to time limitation defenses.
• None of the planning engaged in by the clients requires a tax identification number or any government authorizations.
• All plans must have a purpose in business, estate planning or asset protection in addition to the tax benefit gained. We do not subscribe to synthetic or “Black Box” planning.
• All tax plans must utilize commercially viable terms. We do not support “leveraged” tax schemes.