Land trust for new house

[RentToOwn-MN.com]

Great information John - nicely answered!
Dave

[seanmathes]

Can we discuss what the implications are for tax purposes and for protection of cash and other assets that I already have? I also have a day job right now that brings in my main income.

I am not really that concerned with liability as my assets right now are not really considerable but my tax bill may be.

[David A. Hurlbrink]

John,
I  agree with your statement that yes through a court order a good attorney can eventually find out whom the beneficiaries  of the trust  are but from my understanding that does take some time and effort and without risking a fraudulent conveyance will give you time to asset protect ones interests or develop a strategy to counter what is happening and yes hopefully you have a another type of layering of your assets to protect them like the general partnership structuring.

We had an incredible thread going about advanced asset protection using the layering techniques you just mentione Colvegas, I wish folks were able to see it and learn from it.
Regards,
Dave

[seanmathes]

David is this thread no longer available? If it is can you please provide the link?

[$Cash$]

seanmathes,

The posts have been deleted as it might lead someone to commit perjury on the witness stand by not answering questions truthfully.

John $Cash$ Locke

[David A. Hurlbrink]

All questions were answered 100% truthfully and succinctly. On the witness stand, I wouldn't feel it necessary to teach the litigator either asset protection techniques nor my business model. Would you??
Regards,
Dave

[$Cash$]

Dave,

So your point is you were teaching posters about advanced asset protection, you do not need a litigator to do that.

"We had an incredible thread going about advanced asset protection using the layering techniques you just mentione Colvegas, I wish folks were able to see it and learn from it."

Be my guest teach everyone about advanced asset protection, I'm sure everyone wants to know how.

John $Cash$ Locke

[David A. Hurlbrink]

Shoot, John
  You were the one that wanted to play attorney.
  The prime rule in asset protection is to own nothing, control everything. Rule #2 is to keep one's name off of the public record.
  When setting up an LLC/Corporation, how might rule 2 be accomplished? By incorporating in a state that allows NOMINEE DIRECTORS, thus keeping your name off of the corporate charter while still maintaining 100% control of corporate assets. Certain states, like Nevada and Wyoming have inherent protections available that may negate the need for NOMINEE DIRECTORS. I recommend using Nominee Directors regardless. You can use as many layers of corporate protection as you feel necessary. Do you own this corporation? NO. The Nominee Director does.
One corporation may own several fictious names registered in the county in which you're doing business. ie. XYZ Corporation may own a RE Holding company. Do you own RE Holding? NO. Do you own XYZ Corporation? Yes, unless using a nominee director; in which case NO.
Can ABC Corp own XYZ? Yes. See how this may benefit you?
  Coupled with the effective use of other entities, whether another LLC's, UBO's, or Land Trusts you may protect yourself from harm by shielding yourself and your assets from exposure to mad ex-wives, creditors, personal injury attorneys and even the IRS. I make no bones about the fact I like Land Trusts as a safe way to accomplish Sub 2's. Can a DBA or a LLC be a beneficiary in a land trust? YES. Partitioning is a great thing for throwing off attorneys who want to get to what you've worked so hard for.
  Can an extremely shrewd litigator eventually pierce any veil through effective questioning? YES. At the same time, are you obligated to teach him asset protection? NO. Simply answer all questions truthfully, succinctly and directly.
  Plan for it and hope you never need it. If you ever do, the prior planning could mean the difference between becoming wiped out and walking away unscathed.
Regards,
Dave

[seanmathes]

Let me be blunt and to the point this way hopefully I can get an honest answer. Are these not topics that should be discussed in an open forum?

If so is this information that perhaps wealthy investors hold very close to the vest and do not want others to know?

I somehow feel like this may be the case by your statement here John.

"Be my guest teach everyone about advanced asset protection, I'm sure everyone wants to know how."

If this is the case please just say so and I will stop beating my head against the wall by asking, or perhaps I am misunderstanding?


Example of why I am asking: Am in going to end up with a huge tax bill this time next year if I purchase my most recent property, fix, flip, and do a contract for deed (or something similar) to someone else. From my understanding this is considered  and treated as a sale therefore forcing me to pay large capital gains taxes.

Getting a little frustrated here but not quiting until all these issues have been hammered out. Thanks for everything guys.

Sean (my brain hurts) Mathes

[$Cash$]

Shoot Gary,

Glad to see you got that out of your system.

So in essense do not lie on the witness stand, because when an attorney asks you a question on the witness stand he already knows the answer, no matter how you try to skirt the issue.

Secondly, have a professional set up your asset protection plans, so that you adhere to State Specific laws.  The only course writer I know who is an attorney that deals in trusts and asset protection is Bill Bronchick, so who are you going to listen to regarding your future?

Sure would not be a layman in my opinion.

John $Cash$ Locke

[David A. Hurlbrink]

Sean,
  Look into a 1031 like-kind  exchange as a way to defer taxes. By all means address the tax issue asap, but don't let it hang you up.
Regards,
Dave

[$Cash$]

seanmathes,

If you learn nothing else on these forums, learn that you need a professional to help you on certain matters.

Asking a legal question on a open forum could be answered by some 13 year old who cuts and pastes from another web site the answers.

Seek a professionals opinion on your tax situation.

John $Cash$ Locke
 
 

[David A. Hurlbrink]

Why are you being so vicious, John? Of course everyone needs professionals on their team. It's so completely obvious, I didn't even mention it. 13 year old cut and paster?   That's beneath you.
Regards,
Dave

[$Cash$]

Dave,

If I knew what you were talking about when the post was for Sean, with out any names being mentioned, just what could happen on a discussion forum.

You told him to look into a 1031, I told him seek a professionals advice about his tax matters.

Are you saying this is bad advice?  What is your point?

John $Cash$ Locke

[David A. Hurlbrink]

No, I agree completely.
  Going to professionals is always strong advice when so much is at stake. Do you somehow disagree that 1031 should be looked at as a possible solution? Are we not allowed to point folks in the right direction without derision and ridicule? I also am a fan of and have the utmost respect for Bill Bronchick and any other individual well versed within their field. And yes, John, that certainly includes you. We're all here to help each other with our unique experience; it's what makes the world go 'round.
 Somehow, we got off track, John and in the public forum I'd like to offer my hand in friendship and with the utmost respect
Regards,
Dave