Our third offshore building block would be to form a trust. The offshore trust is an umbrella over the corporation and the bank account. The trust's sole assets are the shares that it owns in the company and the company's sole asset is the bank account. Now, you also have two-way privacy and two-way secrecy. When the trust company looks down, it only sees the company and when the bankers look up, they also only see the company! Both the bank account and the trust are invisible to each other.
The next step would be to appoint a trustee to oversee and manage the trust in the even that you become disabled, die or are under any type of compulsion to turn over assets.
Wednesday, November 19, 2008
Monday, October 20, 2008
Website Launch
The Steven Sears Law Offices are in the process of redeveloping and launching or websites. Check us out at:
www.corpadvisor.com
www.searsatty.com
www.stevensearsattorney.com
All site are in the process of redevelopment to better help our clients! Continue to check back for updates.
www.corpadvisor.com
www.searsatty.com
www.stevensearsattorney.com
All site are in the process of redevelopment to better help our clients! Continue to check back for updates.
Monday, June 30, 2008
Limited Liability Companies
A Limited Liability Company (LLC) is another vehicle for protecting your assets and is more sophisticated than a Limited Partnership. In comparing an LLC to a Limited Partnership there are two distinct differences. In a Limited Partnership, the limited partners cannot participate in managing the business, in an LLC they can. In a Limited Partnership the general partners are personally liable for business debts, in an LLC, all owners get the benefit of limited liability protection from business debts and claims.
Monday, June 2, 2008
Offers in Compromise
The IRS Offer in Compromise Program authorizes the IRS to compromise outstanding tax obligations with taxpayers with financial hardship for less than the full tax due. What this means is that the IRS negotiates a deal with you to pay what you can afford and forgives any remaining balance.
Historically, the IRS discouraged Offer in Compromises. In 1992, the IRS adopted new policies and procedures to promote taxpayer use of Offer in Compromises and to streamline the handling of cases. IRS agents are now more lenient and willing to accept Offer in Compromises than in the past.
Individuals, married couples, and business entities, such as corporations and partnerships may file an Offer in Compromise.
Many types of taxes such as personal income taxes, corporate income taxes, estate taxes, and payroll taxes may be compromised. The Franchise Tax Board also has a similar program for state taxes. You may negotiate not only the tax but also the penalties and interest.
If you are a taxpayer who is unable to pay the full tax liability due to a financial hardship and you believe that the IRS would not be able to collect the taxes through a collection procedure or where there is doubt about your tax liability the Offer in Compromise program may be the solution to your tax problem.
What's great about this program is that the compromised amount may be paid in one lump sum payment, in installment payments, or through a combination of a lump sum payment and installment payments.
In order to file an Offer in Compromise, you must submit appropriate IRS forms and provide comprehensive financial statements to the IRS. These forms must be completed correctly in order to increase your chance of negotiating a good settlement amount.Our firm has provided assistance to clients in all tax, legal, financial and accounting matters and has represented many taxpayers. Our staff includes experienced professionals such as CPA's, attorneys, and enrolled agents to provide full legal representation before the Internal Revenue service and state tax authorities.
Historically, the IRS discouraged Offer in Compromises. In 1992, the IRS adopted new policies and procedures to promote taxpayer use of Offer in Compromises and to streamline the handling of cases. IRS agents are now more lenient and willing to accept Offer in Compromises than in the past.
Individuals, married couples, and business entities, such as corporations and partnerships may file an Offer in Compromise.
Many types of taxes such as personal income taxes, corporate income taxes, estate taxes, and payroll taxes may be compromised. The Franchise Tax Board also has a similar program for state taxes. You may negotiate not only the tax but also the penalties and interest.
If you are a taxpayer who is unable to pay the full tax liability due to a financial hardship and you believe that the IRS would not be able to collect the taxes through a collection procedure or where there is doubt about your tax liability the Offer in Compromise program may be the solution to your tax problem.
What's great about this program is that the compromised amount may be paid in one lump sum payment, in installment payments, or through a combination of a lump sum payment and installment payments.
In order to file an Offer in Compromise, you must submit appropriate IRS forms and provide comprehensive financial statements to the IRS. These forms must be completed correctly in order to increase your chance of negotiating a good settlement amount.Our firm has provided assistance to clients in all tax, legal, financial and accounting matters and has represented many taxpayers. Our staff includes experienced professionals such as CPA's, attorneys, and enrolled agents to provide full legal representation before the Internal Revenue service and state tax authorities.
Thursday, May 22, 2008
Video Clips posted on YouTube
I've posted sections of my DVD entitled "Wealth & Asset Protection Strategies" on YouTube.
Life Insurance Trusts - Asset Protection
Many people do not realize that the value of their life insurance upon their death becomes a taxable event. Let's say you have property, cash and investments worth $2 million and you also have a life insurance policy that will pay your children $1 million upon your death. That $1 million will be included when the Internal Revenue Service is calculating the amount of your estate taxes; that is, if you just leave a Will and/or you don't plan for that eventuality now.
If you had an "A-B" Living Trust, your examption would be over $2 million but that would still leave you with the $1 million life insurance policy pay out, which would be taxable.
There is a way to avoid all of this pain and it's called a Life Insurance Trust. Your insurance policy becomes an asset of your trust and the premium to be paid upon your death would be designated as "gifts." Since you are allowed to give gifts of up to $10,000 per year non-taxable to whomever you wish, the premiums would be divided up in lots of $10,000 gifts each year for each of your children and your spouse, or whomever you designate, thus taking it completely out of your estate. A trustee is assigned to this trust just like in a Revocable Living Trust.
Upon your death the proceeds of the life insurance would then go tax free to your children and you could also provide for your spouse and other family members as well.
Wealth and asset protection is not only for the wealthy. These powerful, yet simple strategies should be considered by anyone with a family, business or property.
By Steven Sears, Attorney, CPA Irvine, CA website: http://www.stevensearsattorney.com
If you had an "A-B" Living Trust, your examption would be over $2 million but that would still leave you with the $1 million life insurance policy pay out, which would be taxable.
There is a way to avoid all of this pain and it's called a Life Insurance Trust. Your insurance policy becomes an asset of your trust and the premium to be paid upon your death would be designated as "gifts." Since you are allowed to give gifts of up to $10,000 per year non-taxable to whomever you wish, the premiums would be divided up in lots of $10,000 gifts each year for each of your children and your spouse, or whomever you designate, thus taking it completely out of your estate. A trustee is assigned to this trust just like in a Revocable Living Trust.
Upon your death the proceeds of the life insurance would then go tax free to your children and you could also provide for your spouse and other family members as well.
Wealth and asset protection is not only for the wealthy. These powerful, yet simple strategies should be considered by anyone with a family, business or property.
By Steven Sears, Attorney, CPA Irvine, CA website: http://www.stevensearsattorney.com
Wednesday, May 21, 2008
Durable Powers of Attorney - Asset Management
A Durable Power of Attorney is a document designating an individual, which can be a family member or friend, to manage your assets or your healthcare needs in your absence. Should you become incapacitated physically and/or mentally (one or two physicians would have to certify this), then the individual you have chosen would automatically be able to manage your assets until such time as you were able to do this yourself once again.
You should choose someone with particular financial skills, someone who can prudently and conservatively handle your property and investments on your behalf and for your family and future heirs. This can involve taking care of rental properties or even paying the mortgage and bills for your current home. This is a much better alternative to a conservatorship where a court appointed representative ends up managing all your assets.
Steven Sears, Attorney, CPA, Irvine, CA www.stevensearsattorney.com
You should choose someone with particular financial skills, someone who can prudently and conservatively handle your property and investments on your behalf and for your family and future heirs. This can involve taking care of rental properties or even paying the mortgage and bills for your current home. This is a much better alternative to a conservatorship where a court appointed representative ends up managing all your assets.
Steven Sears, Attorney, CPA, Irvine, CA www.stevensearsattorney.com
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