Real Estate and Asset Tax Consulting

In the case of owing an unprofitable real estate or vacant lot, Earth Tax Corporation, in collaboration with real estate agencies could propose and execute specific suggestions of how to effectively utilize the land and increase the profitability of the real estate by using utilization method and tax measures. Further, we also provide suggestions on income distribution and inheritance tax for individual real estate owners who are considering setting up a real estate management company to effectively utilize the land.

When corporate owners selling their land to their own company, many tax problems will arise. If the land is sold at a price clearly much lower than the market price, higher tax rate would be imposed as the transaction may be treated as an sale from an individual.

If the land is sold at a price clearly much higher than the market price, there are cases where the amount is treated as donation and consequently the company is taxed more. Hence, Earth Tax Corporation would suggest the appropriate measures based on the estimated real estate price and tax treatment.

As the land rental of owning limited proprietary rights of land is low, the land is considered to be ineffectively utilized. In such cases, it is better to consider various methods to increase the profitability of the land such as exchanging the equivalent land and land lease rights or exchanging the land lease rights with the ownership of other land. As such, Earth Tax Corporation could provide advisory services on such problems in collaboration with real estate agents, lawyers and experts to propose the best solution. We could also assist in the execution of the proposed solution.

There are cases where fixed asset tax, of land owners who have vacant land, are taxed more than land owners with buildings on it. In addition, there are many cases where the valuation of vacant lot for inheritance tax becoming higher and various deductions of valuation could not be applied. Hence, Earth Tax Corporation could advise such land owners on methods to effectively utilize the land and the tax considerations of such solutions.

Earth Tax Corporation advises real estate owners on the best methods to effectively utilize the assets owned and minimize the tax levied, based on our clients’ needs by carrying out simulation on income tax and inheritance tax.