What type of annuity is used in the Structured Sale?
The annuity used is designed specifically by the life insurance companies who offer the strategy to defer capital gains taxes. The annuity is technically a fixed immediate single premium annuity that can be customized to fit the income stream needs of the seller. While the term “immediate” is used to describe the Structured Sale annuity in general terms, the annuity does allow sellers to defer receiving their first payments for a period of years if they choose (up to 20).