Although much care is spent in the creation and management of patents and trademarks, often the tax implications of intellectual property ownership do not get the same level of attention. The result is you paying more federal and state taxes than necessary. With particularly valuable patents, this difference in tax liability can amount to millions of dollars.

IP tax strategy is a highly specialized area of business planning and accounting requiring knowledge that is not commonly known. Although accessing this knowledge can be expensive, if you don’t do some level of tax analysis you are likely to miss significant opportunities to increase cash flow and shareholder value.

The strategies are multiple and varied. In some cases an independent foundation may be the best approach to maximize the value of IP. In other cases, a special subsidiary can be established to achieve your goals. There may be an opportunity to save on federal taxes or, even without IRS savings, an opportunity to save on state taxes.

Telaric Ideas can help you plan and extract the highest value from your intellectual property portfolio.  We have the experience to help you evaluate your tax savings options in conjunction with the other consulting services we provide.

Beyond tax planning, Telaric Ideas can also help you position your company in areas related to licensing, litigation, and the valuation of your intellectual property portfolio – which may be especially important for succession planning or to simplify a merger or acquisition.

Foreign companies that obtain patents in the United States typically are unaware of the taxation and other business implications that comprehensive planning can achieve.  While there may be an initial and even continuing expenses to do this right, the benefits are often well worth it to ensure that your intellectual property returns the highest value possible.

If you would like to learn more about how we could help you with your IP tax strategy, please contact us to schedule a free consultation