When it comes to tax-advantaged investments for the accredited investors, one investment class stands out above the rest: OIL.
With the backing of the IRS tax code, investing in domestic energy production has a vast array of tax savings unmatched by other investment opportunities. Astute tax planning allows us to deduct nearly 100% of your entire investment.
Today a properly structured drilling venture can result in the entire investment being deductible in the tax year in which it is made. For most investors, who are not integrated oil companies and are classified as “Independent producers”, the deduction is exempt from Alternative Minimum Tax with a limitation of forty percent of AMT income.