Source: Dinar Daddy’s Tidbits
URL: http://feedproxy.google.com/~r/115/BKGb/~3/xjdFg_FBhsM/
Dear ____________,
I do not know your name. However this is my business address and I am a guy and I am an attorney who for years did asset protection planning, business structuring and I still represent a handful of very wealthy clients who are now all dear friends around the globe.
This morning I finally gave up and decided to write someone to let someone know that there is a lot of very poor advice going around concerning the avoidance of State Income Taxes. I see it everywhere. “I have a plane on standby to fly me to Texas” etc., etc.
All I can say is if someone believes they can simply pop down, over, sideways to Texas, Florida or any other of a handful of states and avoid State income taxes in their own state where they; 1. Live, 2 pay bills 3 Paid taxes last year and have not moved from their residence. Then these folks are smoking some good stuff and that is a fact. Flying to Texas or any of the handfuls of states for folks to “cash-in” will not avoid state income taxes. However let me say this Texas will be glad for them to come, use their hotels, eat at their cafes and pay the hefty tourist tax and sales tax. The reason being to fall under the no state income tax in Texas and other states you have to be a resident of that state. You have to have a home there, you have to have a driver’s license, and you have to be registered to vote. Texas has to be your domicile. And this all takes about 60 days if you push it. Other non state income tax states are the same.
Whoever is spreading this stuff it is pure “fertilizer” and that is the honest truth. I cannot believe people are so suckered into this stuff they all take a step of faith, make an investment and then they all start believing some so-called “guru”. It is horse fertilizer and that is the truth. I challenge folks to go visit their Tax attorney/CPA, take money with you and pay them a couple of hundred dollars because they do not work for free and you should not expect them to. They worked hard for their degrees and their knowledge that is what they get paid for. And I assure you as sure as the sun is going to come out on Saturday they will say the exact same thing I have just said above. It is a bunch of horse fertilizer to con yourself into believing otherwise. The fact is if you choose to live in a place like New York, California, Washington State, and God forbid Illinois. You deserve what you get as you chose to live in that high tax state. How do you think those states pay for all those glorious services? You are a resident of that state. So folks need to get a “reality check” Go ahead do the right thing get some professional advice. I am lying or I am dying and I know I am right. I have to counsel people every day from various states and around the world about how things are handled here in the states.
I do not even live in Texas. I did 6 months ago, now I live in Oklahoma that has a top rate of 5% income tax. I cannot avoid it, I live here, I have a home here, my kids go to school here, I vote here.
Anyway I had had enough of the horse fertilizer and my problem is I actually do care about people I have a conscience and if people do not believe me then please be a “Good Steward” go get a professional opinion from a tax attorney or a CPA in your state. If whoever they choose is worth anything they will tell you the truth. Pay them they are worth it!
LLCs – these are pass through entities. If you spent money to set one up in your state you have avoided nothing, even if you set it up in Nevada. Come 2013, April 15, every dime that flows through that entity will be deemed as income to the Member who holds the shares or Membership Certificates. It is taxed the same as an S-corporation. It all passes through to the tax payer at the taxpayers rate. You can control some of it coming through as W-2 Income and the rest as dividends but that is all you can do. No magic trick here.
Additionally, putting your money through a TRUST that is not a Charitable Trust will be taxed at the highest rate in the United States. Revocable Living Trusts do not avoid income taxes, Business Trusts in Massachusetts do not avoid income taxes – you try this and you might as well paint a big bulls-eye on your hiny because the IRS will see the red smoke and nail you for trying to avoid income taxes.
Charitable Remainder Unitrusts work. However very strict rules and you certainly do not want to set one up until it is time because the minute you set it up the Trustee who should be independent has a duty to maximize the interest earned and therefore they would sell your IQD to fund the trust whatever the rate is because the Trust under federal law has to pay out between 5 and 12% of its income to its income beneficiary. Yes you can kill all tax with one of these babies. However lots of strings attached and you lose control. I would rather use this as an estate planning device along with a Charitable Lead Trust.
The conclusion is pay your tax, but be smart. See a CPA or Tax attorney after you have cashed in. Have them give you an estimate of what you will owe. Set up a tax account and put the money in that account and have it invested in something safe. Municipal Bonds that will earn tax free income. U.S. Treasuries something safe. Have the interest poor over into your other account and make your quarterly tax payments. This is being first a “Good Steward” and secondly “As wise as a serpent and as harmless as a dove” and you are doing what Jesus commanded, ‘Rendering unto Caesar that which is Caesar’s.” Again this safest course of action. Why go out there and make this investment, hit the mother load and then blow it out of sheer ignorance. Sure you can probably afford the tax penalties and interest you will get hit with if a person plays it stupid. However is that the right thing to do? Get a stiff neck out of sheer pride? Pride does come before the fall and that is what it is to ignore laws in your various states. Ignorance is bliss!!!!
I know I have been rather brutal and blunt but again no one has ever accused me of giving poor advice. It is good solid counsel from someone who believes and is accountable to a higher authority and that is not Uncle Sam I assure you.
Do the right thing!
I remain,
With warmest regards,
Mother, Esq.
Thank you. Finally someone that has some basic common sense. I also want to add that when you start screwing around with this type of stuff, they come and seize the funds and then ask questions later. That can be a real pain in the backside because if they take it all, where are to going to find the liquid funds to fight with.
Heed the warning and hope for the best. I am also an Asset Protection, and Liability Isolation Counselor, and have been for 25 years. I have seen people get really hurt over a few thousand dollars and wind up costing tens of thousands in court and attorney fees to clean up the mess.
How much tax do you have to pay on $0.00 ???
(Whoever is spreading this stuff it is pure “fertilizer” and that is the honest truth. I cannot believe people are so suckered into this stuff they all take a step of faith, make an investment and then they all start believing some so-called “guru”. It is horse fertilizer and that is the truth.)
WOW under statement of the century !! EVERYTHING the guru’s spout is horse shit !!
So tell me again why we need to be worried about this ??
@ mother — ANOTHER prognosticator with grammar challenges ! It is hard to take one of you ‘ professionals ‘ seriously when your claiming to be a big-wig ESQUIRE with ‘ wealthy clients around the globe ‘ and can’t spell or have an assistant check your work (at least 4 errors). I’m pretty sure EVERY SINGLE WORD MATTERS IN CONTRACTS AND TAXES. PERIOD. You say you have to be a ‘ registered voter ‘ to be a resident ? Since when ? I moved at least 7 times in 19 years and was never denied ” residency,’ and have NEVER registered to vote. The legal / corporate system in the US is so corrupt (thanks, attorneys) I have zero trust votes are ever counted, the ” chad ” in Florida an example of poorly covered up corruption. The Electoral College elects presidents anyway, us 99% never deemed ‘ capable ‘ of making that momentous decision. Four of our POTUS (pres of the US) were placed in office against popular vote. Stalin was correct when he said ” Those that cast the votes change nothing, those that count the votes change everything.” I’ve never overseen a count, have you ?
If you are answering to a ‘ higher power ‘ than ‘ uncle sam,’ then who the hell do you really work for ? Queen Mum ? You are in the US but above the US, as in exempt from or not answerable to ? BAR member ( British Accreditation Regency) ? The cellar of evil, the Vatican ? Fess up ! If you were referring to god, you will find most of us here have had way too much god-crap propaganda, and since you can’t prove it to us, you have ALREADY damaged your credibility beyond repair. You spent some time in here telling us how valuable all these professionals are and they ‘ don’t work for free.’ DID ANYBODY PAY YOU TO POST THIS ? Come on, fess up ! Or is this worker-for-the-one-percent worth exactly what we here have paid for it ? ZERO ! Nice work slipping in that ‘ counsel ‘ thing, that counsel thing being a mechanism of common law. You wear two hats. Invest it ? are you batty ? The same Bernie Madoff clowns that collectively took down banking, created toxic assets and got bailed out for free ? The same professionals who eulogized 401K’s and IRA’s that have lost 40% to 80% of their value ? You must be on British happy pills ! I’d rather bury it in the back yard than give one fucking penny to you thieves, and you may find that sentiment common in here. ‘ Trusting ‘ the goddamn ‘ professionals ‘ is what got us where we are now. Our best ” legal opinion ” is a currency EXCHANGE is not taxable. State ” taxes ” are predicated on Federal tax obligations, each state bases state tax liability on Federal tax liability.
You are way too late. You are preceded by con men of a very high caliber, the shills for dinar sellers and various government three letter agencies. We can’t believe ANYBODY in here, and you sure as shit haven’t made the list. mike the mong
What are we paying state taxes on? I don’t know about everybody else, but I know I have until APRIL 15, 2012 and our lovely government owes me some money.
HOORAY !!!!!!!!!!!!!!!!!