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Loophole

QSBS Stacking via Non-Grantor Trusts

Multiply the $10M §1202 exclusion across multiple trusts.

Overview

Gift QSBS shares to multiple non-grantor trusts (each in favor of different beneficiaries) BEFORE the 5-year hold ends. Each trust gets its own $10M exclusion. A founder with $50M+ QSBS can shield the entire gain — completely legal, IRS-sanctioned.

Best fit
Pre-exit foundersQSBS holders$10M+ potential exits
Estimated impact
$2.3M+ federal tax per additional $10M shielded

Click Generate advisory deep dive for mechanics, IRC citations, a step-by-step execution plan, a worked numeric example on your profile, costs, risks, and this-week actions.

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