Method of reducing a tax liability incurred by the receipt of a distribution amount

• US 20050165678A1
• Filed: 07/06/2004
• Published: 07/28/2005
• Est. Priority Date: 01/22/2004
• Status: Abandoned Application

• Current Assignee: MLP Investments Limited
• Original Assignee: Benecorp, LLC
• Inventors: Drake, Stephen
• Application Number:
  US10/886,351
• Publication Number:
  US 20050165678A1
• Time in Patent Office: Days
• US Class Current: 705/40
• CPC Class Codes: G06Q 20/102 Bill distribution or payments
• CPC Class Codes: G06Q 40/02 Banking, e.g. interest calculation or account maintenance credit or loans G06Q40/03
• CPC Class Codes: G06Q 40/10 Tax strategies

Abstract

A method of increasing a realized portion of a plurality of monetary payments includes: creating a deferred income account; identifying a payout amount; receiving into the deferred income account a deferred portion of a first one of the plurality of monetary payments; after receiving the deferred portion of the first one of the plurality of monetary payments, optionally deducting an expense amount from the deferred income account; after receiving the deferred portion of the first one of the plurality of monetary payments, providing a first portion of the deferred income account for obtaining the payout amount; and repeating the receiving and deducting steps for subsequent ones of the plurality of monetary payments. After an occurrence of a qualifying event, the payout amount and a balance of the deferred income account are distributed to one or more qualifying recipients.

Claims

1-39. -39. (canceled)

40. A method of increasing a realized portion of a payout amount to be periodically distributed by a first entity to a second entity at each one of a plurality of distribution events, where the payout amount comprises at least a distribution amount, the method comprising:

distributing the distribution amount to the second entity at a first one of the plurality of distribution events;

arranging for a loan amount to be loaned to the second entity; and

repeating the distributing and arranging steps for each subsequent one of the plurality of distribution events.

41. The method of claim 40 wherein:

the distributing and arranging steps occur substantially simultaneously with each other.

42. The method of claim 40 further comprising:

defining a repayment period within which the loan amount is to be repaid;

defining a periodic payment amount applicable to the repayment of the loan amount; and

defining an interest rate applicable to the repayment of the loan amount.

43. The method of claim 40 wherein:

the first entity and the second entity do not have an employer-employee relationship during a time at which the distributing and arranging steps occur.

44. The method of claim 40 wherein:

the second entity does not receive any portion of the distribution amount in exchange for work performed for the first entity during a time at which the distributing and arranging steps occur.

45. The method of claim 40 wherein:

the loan amount comprises a revolving line of credit.

46. The method of claim 40 wherein:

the method is governed by rules promulgated under authority of at least one source selected from the group consisting of;

the first entity;

a federal Indian Gaming Regulatory Act;

a United States Bureau of Indian Affairs;

a United States Department of the Interior; and

a state compact.

47. A method of increasing a realized portion of a per capita distribution amount to be distributed by an Indian Tribe to a tribal member at a repeating interval according to a provision of a revenue allocation plan of the Indian Tribe, the method comprising:

changing the per capita distribution amount from a first payment amount to a second payment amount;

distributing the second payment amount to the tribal member at a first distribution event;

arranging for a loan amount to be loaned to the tribal member; and

repeating the distributing and arranging steps for subsequent distribution events.

48. The method of claim 47 wherein:

the loan amount is equal to or greater than an absolute value of a difference between the first payment amount and the second payment amount.

49. The method of claim 47 wherein:

distributing the second payment amount and arranging for the loan amount occur substantially simultaneously with each other.

50. The method of claim 47 further comprising:

defining terms governing a repayment of the loan amount.

51. The method of claim 50 wherein:

defining terms governing the repayment of the loan amount comprises;

defining a repayment period within which the loan amount is to be repaid;

defining a periodic payment amount applicable to the repayment of the loan amount; and

defining an interest rate applicable to the repayment of the loan amount.

52. The method of claim 47 wherein:

the Indian Tribe and the tribal member do not have an employer-employee relationship during a time at which the distributing and loaning steps occur.

53. The method of claim 47 wherein:

the tribal member does not receive any portion of the second payment amount in exchange for work performed for the Indian Tribe during a time at which the distributing and loaning steps occur.

54. The method of claim 47 wherein:

the loan amount comprises a revolving line of credit.

55. The method of claim 47 wherein:

the method is governed by rules promulgated under authority of at least one source selected from the group consisting of;

the first entity;

a federal Indian Gaming Regulatory Act;

a United States Bureau of Indian Affairs;

a United States Department of the Interior; and

a state compact.

56. A method of reducing a tax liability incurred by the receipt of a per capita distribution amount to be periodically distributed by an Indian Tribe to a tribal member at each one of a plurality of distribution events, according to a provision of a revenue allocation plan of the Indian Tribe, the method comprising:

amending the revenue allocation plan to reduce the per capita distribution amount from a first payment amount to a second payment amount less than the first payment amount;

distributing the second payment amount to the tribal member at a first one of the plurality of distribution events;

loaning to the tribal member a loan amount at the first one of the plurality of distribution events;

defining a repayment period within which the loan amount is to be repaid;

defining a periodic payment amount applicable to the repayment of the loan amount;

defining an interest rate applicable to the repayment of the loan amount; and

repeating the distributing and loaning steps, and at least one of the defining steps, for subsequent ones of the plurality of distribution events,

wherein;

the first payment amount is subject to a first tax amount;

the second payment amount is subject to a second tax amount; and

the second tax amount is less than the first tax amount.

57. The method of claim 56 wherein:

repeating the distributing and loaning steps for subsequent ones of the plurality of distribution events comprises;

repeating the distributing and loaning steps for each subsequent one of the plurality of distributing and loaning events.

58. The method of claim 56 wherein:

the loan amount is equal to or greater than a difference between the first payment amount and the second payment amount.

59. The method of claim 58 wherein:

the method is governed by rules promulgated under authority of at least one source selected from the group consisting of;

the first entity;

a federal Indian Gaming Regulatory Act;

a United States Bureau of Indian Affairs;

a United States Department of the Interior; and

a state compact.

60. A method of increasing a realized portion of a payout amount to be periodically distributed by an Indian Tribe to a tribal member at each one of a plurality of distribution events, where the payout amount comprises at least a distribution amount, the method comprising:

distributing the distribution amount to the tribal member at a first one of the plurality of distribution events;

arranging for a loan amount to be loaned to the tribal member; and

repeating the distributing and arranging steps for subsequent ones of the plurality of distribution events.