Business succession planning is a part of estate planning. How can we pass a family business to the next generation? Yvon Chouinard donated 98% of his $3 billion company to an Internal Revenue Code Section 501(c)(4) organization. Why would he do this? There are several potential reasons: it saved him millions in taxes, accomplished certain political goals, and solved some common succession issues.
Our friends at the AAEPA have written a detailed breakdown, which is available at this link.