Short answer: yes. And you should not take our word for it. It runs on a part of the tax code that has existed for decades. Below: what it is, and how to verify it yourself in about five minutes.
If you first heard about this in a cold email or from someone you just met, healthy skepticism is the right instinct. Anything that promises to lower a big tax bill deserves a hard look. So do not trust us. Trust the primary sources below, then ask your own CPA. If it did not hold up, we would not build a business on it.
Send me the sale price and rough basis. Within one business day I'll email you the actual number and the Seller's Guide to §453. If it doesn't fit your deal, I'll tell you that plainly.
No retainer · no obligation. Hans Goldstein, a licensed insurance agent (CA Insurance License #4273294), will contact you and may discuss insurance products, including annuities.
When you sell an appreciated property or business for a large gain, taking all the money in one year can push the entire gain into the top brackets and hand the IRS a six or seven figure check on day one. A structured installment sale lets you take the proceeds as a series of scheduled payments over several years instead. You pay tax on the gain only as each payment arrives, which keeps more of each year in lower brackets and lets the unpaid balance keep earning.
Do not rely on this page. It is ours and we are not neutral. Instead: search "is a structured installment sale legit" and read what independent sources say. Open IRS Publication 537 and search the word "installment." Ask your CPA about the installment method under Section 453. If all three line up, you have your answer.
It works best on appreciated real estate and business goodwill. It defers the capital gain, not depreciation recapture, which is still taxed in the year of sale. It does not apply to inventory or publicly traded securities, and deferred balances above five million dollars can trigger an interest charge under Section 453A. A good structure is always run on your real numbers and reviewed with your CPA.
More reading on this site: what a structured installment sale is, the math on a $4M deal, how it compares to a 1031, and, if a sale feels stuck, why sellers freeze at the closing table. Working a deal as a professional? See the pages for commercial realtors and for brokers.
Educational only, not tax or legal advice. Every case depends on the seller's basis, income, filing status, recapture, and the payment schedule chosen, and should be reviewed with a qualified tax advisor.
