Jayson Lowe debunks the myth that Infinite Banking lets you skip taxes. Any money reaching a shareholder triggers a taxable event with no legal workaround. He warns against social media claims of tax-free IBC income and flags a dangerous tax trap that can hit when a shareholder dies.
Is there a way to leverage IBC to bypass the tax? In that scenario, if there's no holding company in place and you're not doing an intracorporate dividend transfer and you're not contending with— either way, if money ends up in the hands of the shareholder, you are going to trigger a taxable event and there's no circumventing that. And there's a lot, I think, of noise on social media where there's a lot of promotion around, hey, you can get income out of your company on a tax-free basis. I would say run away from that type of advertising. Don't walk away. You're going to trigger a taxable event, especially if you're structured in such a way where it's going to trigger a tax landmine when the shareholder dies. Want to learn more? Just visit watchIBC.com. That's watchIBC.com.
