Case Study
Dental Practice
Equity Sale

Selling a professional practice—like a dental business—often creates a sizable capital gains tax event, even for modestly sized transactions. Between federal and state tax exposure and limited access to reinvestment strategies, sellers can lose a significant portion of their proceeds. Traditional tax planning methods often overlook opportunities to retain more value, especially when the seller is looking to exit cleanly and reinvest on their own terms.

The TaxWealth Approach

TaxWealth enables property owners to exit valuable assets without being forced into a reinvestment strategy or giving up liquidity. By strategically structuring the transaction to postpone the timing of federal tax obligations, clients preserve more of their wealth at closing. This approach increases usable capital, maintains full tax compliance, and provides the freedom to direct proceeds according to their financial and legacy goals.

The Problem

A dentist sold their practice for $1,000,000. Under a conventional sale, their total tax burden was $243,824, which left just $656,176 in proceeds. A substantial portion of the sale went to taxes, reducing liquidity and limiting flexibility for post-sale planning and investment.

The Solution

Using TaxWealth’s strategy, the seller legally delayed tax payments and received a net distribution of $840,075. After setting aside funds for the future obligation, they retained $797,623 in usable capital—achieving a 21.6% increase in available funds compared to a conventional sale, with full compliance.

Case Study Details
Transaction Range
Projected Conventional Tax
Projected Savings

Detailed transaction figures for this case study are added as the completed analysis clears publication review.

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