PLANNING WAY'S TO PROTECT YOUR ASSETS

Nobody can take your assets away without first winning a lawsuit and obtaining a judgment. Except in the rarest of situations (or in the case of the IRS or in certain divorce situations), a pre-judgment attachment is not available in the USA. You always have quite a long warning time.

* Asset protection strategies can be best implemented when the financial seas are calm. Once attacks have mounted, it is sometimes too late to do any serious protecting because of the fraudulent conveyance  laws. You work hard to make your money and we believe that you should take ten percent of this effort and direct it toward protecting your nest egg.

* What judgment creditors don't know about can't be taken. In other words, stealth works. Never volunteer anything.

* Judgment creditors can only take what you own. If it is not yours, they can't take it.

* No country in the world automatically will recognize judgments from a US court. To register and enforce a US judgment abroad, the case must first be re-litigated in the foreign country (not true with respect to certain arbitration awards which are sometimes recognized by virtue of a treaty). No country anywhere in the world recognizes tax oriented judgments from the US that we know of. Most also refuse to recognize our tort, securities and antitrust judgments. They simply think our laws are stupid and unfair, and refuse to recognize judgments based upon nonsensical laws. This is one reason for asset protection trusts.

* Never trust anybody (especially a foreign trust company) with your money. All asset protection plans should be structured so that you never are vulnerable to any other person taking or dealing with your money without your consent.

* Divide and conquer. Never mix liability generating assets in the same entity (for example, you would never have two apartment houses owned by the same limited partnership).

* The United States is the only country in the world which permits contingent fee litigation. In all other countries it is unethical for an attorney to take a case on a contingent fee basis. In addition, in many countries the plaintiff must post cash with the court to handle the defendant's fees and costs if the plaintiff is unsuccessful.

A Great Deal of Asset Protection Deals With Offshore Planning

To Protect Your Privacy and Wealth, Consider Taking The Following Steps

1 Establish an offshore bank account in a tax-free privacy-oriented, financial friendly nation. When done correctly, your cash will be secure from almost all U.S. based claims. But first carefully investigate any foreign bank you consider using.

2 As part of your overall estate plan, create your own offshore asset protection trust or private family foundation to hold title to specific assets.

3 Precisely document all financial transactions so that you always have ready proof that  your activities are legal.

4. Educate yourself about and comply with, all laws, rules and regulations concerning reporting of your financial activities to government agencies.

5. Before you act, consult an experienced professional attorney and or accountant and find out the U.S. or other tax implications of your plans.

6 Get a firm and reliable estimate of the cost of what you are planning, both immediately upon implementation and for the first few years of operation.

CREATIVE OFFSHORE FINANCIAL STRATEGIES

These varied strategies can be used individually or in combination , as your situation requires. But each one is fully legal and each has been used by many thousands of people worldwide with highly satisfactory results.

1: PERSONAL LIVING STRATEGIES

A: Expatriation – The Ultimate Estate Plan
Expatriation has been called  “the ultimate estate plan” and it’s a legal, step-by-step process that can lead to the legal right for you to stop paying U.S. or other national income taxes – forever.

It requires professional consultation, careful planning, movement of assets offshore and acquisition of a second nationality. When all that’s done (and done exactly right), you must leave behind your home country and become a “tax exile” with an established domicile in a low or no tax jurisdiction. And, for U.S.  citizens, this unusual plan requires, as a final step toward tax freedom, the formal relinquishment of citizenship.  Is this a drastic plan? You bet. There are many other offshore strategies, like international life insurance policies and annuities, offshore investments made through retirement plans, offshore companies holding real estate re-incorporating offshore to avoid U.S. corporate taxes, or other type of business. But for U’S’ citizens who seek a permanent and completely legal way to stop paying all U.S. taxes, expatriation is the only option.

This option might NOT last much longer though, The Democrats who now control the U.S. congress may enact a proposal by U.S. Rep. Wrangle (D-NY), which in effect would impose an immediate tax on unrealized capital gains on anyone who ends their U.S. citizenship. His proposal uses an arbitrary test of net worth and/or income tax paid over a period of years to assume an ex-citizen is trying to escape income taxes. Similar net worth/income tax provisions have been the law since 1996. The 1996 anti-expatriation law asserts limited U.S. tax jurisdiction for a period of 10 years over persons who renounce their U.S. citizenship “with the principal purpose of avoiding U.S. taxes.”  For the purposes of the law, tax avoidance is presumed to be the true purpose if, at the time of expatriation, as expatriate’s net worth exceeds US$622,000 or pays an annual tax bill exceeding US$124,000. However with proper planning, it is relatively easy to avoid U.S. taxes during this 10 year period.

HOW IT SHOULD BE DONE

Long before you formally give up your U.S. citizenship, you should reorder your financial affairs in such a way as to remove from possible government control and taxation most, if not all, of your assets.

Here are the steps you must take to arrange your affairs so that most or all of your income is derived from non-.U.S. sources

Title your property ownership so that any assets that remain in the U.S. are exempt from U.S. estate and gift taxes.
Move abroad and make your new home in a no-tax foreign nation so you are no longer a “resident” for U.S. income taxes.
Obtain new alternative citizenship and passport and formally surrender U.S. citizenship and change your legal domicile to avoid U.S. estate taxes.

Strategy 2: Foreign Residence in a Tax Haven

For foreigners, tax havens can also be places for better living. Even though U.S. persons are taxed on their worldwide income, there are many attractive places to live where taxes can be reduced on business and related activities conducted away from America in a tax haven. these hospitable places exempt foreigners who live there from local income and business taxes and from many other local taxes.
In the U.S. personal income tax rates in many major welfare states are now 50% or higher. this tax burden, combined with Social Security taxes, capital gains taxes, net worth taxes and inheritance taxes has led many to seek out low or zero tax havens where they may be able to live tax-free or nearly tax-free.

There are a few countries that provide tax incentives to qualified new residents. It’s easiest to qualify if you’re healthy and have sufficient income and assets so that you won’t need a job in the local market. However, it isn’t easy to find a haven offering both low or no taxes and high quality of life including a wide range of amenities, excellent medical facilities, easy residence requirements and a warm climate, all within easy reach of the United States. But the Cayman Islands comes very close.

For more information about the Cayman Islands: Click On This Link

Strategy 3: DUAL CITIZENSHIP

          If you have decided to establish a new residence in an offshore tax haven, you may want to consider the acquisition of a second passport and dual citizenship. Under U.S. law, this is fully legal, as it is under the law of many nations.

          A second passport, quite literally, could save your life. Your existing passport may not permit you to travel safely internationally if it becomes necessary for you to leave “home “. That’s because your passport is the property of your government. And in most countries, the government can seize a passport at anytime.

Please click here for excerpts from the book by Robert E. Bauman JD "Where to Stash your Cash LEGALLY"