The Excerpts and Links below emphasize yet another reason that the
best Asset Protection plans are:
1. Tax Neutral;
2. Involve paying and reporting taxable income from all sources;
3. Are drafted by a professional with experience in such issues;
4. AND DON’T RELY ON SECRECY
Secrecy based plans rely purely on the hope of secrecy and your willingness to perjure yourself before the courts. These amateur plans can be either offshore or domestic and include most notably LLCs with “friendly liens” placed against your property, domestic trusts of various incarnations that promise to be a “magic bullet” for every asset and disregard the “legitimate business purpose” guidelines asset protection professionals use.
I tell our clients this:
Secrecy is hiding something and “hoping” no one finds it. Hope is not a plan as we have learned since the last election.
Many planners using fraud based techniques like this fail to tell you that nearly every lawsuit is accompanied by DISCOVERY that requires you to make DISCLOSURES under penalty of PERJURY.
If the amateur that’s pitching you talks about a particular planning structure being “undiscoverable” it does not mean that you do not have to disclose it, you do. If you don’t, you face substantial legal and financial jeopardy as well as the court’s wrath for having lied to them.
Have a real plan that is tax neutral and which you CAN disclose and report without fear.
The Cost Of Secrecy
By Barbara T. Kaplan
On February 18, something happened that should be taken as a wake-up call by investors with secret foreign bank accounts: UBS AG signed a deferred prosecution agreement with the U.S. Department of Justice that resulted in the names and private Swiss account records of 300 U.S. taxpayers being released to the IRS. A second agreement announced this month is expected to result in UBS turning over thousands of more names.
SEE THE WHOLE STORY HERE: http://tinyurl.com/lt8kc3
U.S., Swiss nail deal on secret bank accounts The Swiss and U.S. governments announced a deal Wednesday to settle American demands for the identities of suspected tax dodgers, despite Switzerland’s vaunted bank secrecy.
Days of Secret Swiss Bank Accounts May Be Numbered