Case Study:
Looking at the Big Picture

A new client mentioned that their income tax liability had increased significantly in recent years. Paul had no idea why and was hoping we could help. We began with an audit, as we do with all of our new clients. 

The audit showed: 

Their investment portfolios were generating significant taxes.  Recent tax law changes increased income taxes on many investment portfolios, and the family was completely unaware of this change. Not only were the changes hurting the net performance of their portfolio, but it was also causing them unnecessary income tax exposure. The audit also showed:

  • Paul’s accounting team never spoke with his investment advisory team about the impact the portfolio was having on the family’s tax exposure. 
  • There was no investment policy statement to guide the investment advisory team with the investment goals for the family.
  • Their investment advisor wasn’t aware of the family’s tax burden. 

Copper Beech Solution

  • We brought the CPA and investment team together to strategize on ways to minimize this exposure as a team.
  • We introduced the CPA and investment team to specialty investment managers who would be able to provide a more tax-managed portfolio strategy that could meet the client’s investment objectives, while providing a much more tax efficient strategy. 
  • We created a family investment policy statement to define the family’s investment objectives.
  • We implemented quarterly monitoring meetings of the investment portfolio.


As a result of implementing these changes, the family’s income tax liability and exposure potentially decreased and they have a strategy in place to monitor it going forward.



*Investments in private business enterprises represent significant risk and there are no assurances of future performance or results.  Neither Copper Beech, APFS, nor its representatives provide tax, legal, or accounting advice.  Pease consult your own tax advisor before making any decisions regarding tax or legal issues.