Can any USA tax lads please go more in depth and in detail about how to set up a tax efficient business+trust? Particularly how to be the most tax efficient with a business that is also protected by within a trust? S-Corp or C-Corp? Both in the same state? Offshore? How do you avoid double taxation?Most importantly, how would you invest personal and business income in long term stocks that you select?How would you deal with income you got from an actual job somewhere which is not part of the your business but that you wanted protected by a trust and invested in your choice of stocks? What would all the target tax rates be?Please detail everything. Provide tips and cover all risks, etc. I have tried studying this on my own but the scenario I want in which all income from business and personal in custom selected stocks while protected by trust and taxed as small as possible, complicates things.
>>534900697get a money guy. best investment I ever made. I have 2 "companies" and a trust and reduced my taxes by over 90%. they pay for themselves easily.
>>534900697Ask AI, it's as good as a lawyer and is free of charge, well besides the 50,000,000 gallons of fresh water it uses a day.
>>534901188What kind of money guy, exactly? What state? How do the companies and trusts reduce taxes that much? Are the companies owned by the trust? Did you reduce your PERSONAL or BUSINESS taxes by 90%? Can you briefly describe how it works with your setup? Thanks Anon. I am jealous.
>>534900697standard deduction is 16k, your taxation would be on 44k of 60. If your income were from long term capital gain investments, your taxes would be zero up to 64k(standard deduction + ltcg first tax bracket)If you didn't want to touch the principle you would get a loan at x percent using investments as collateral, effectively a lower tax.
>>534900697“Double taxation” doesn’t exist in pracrice, the US gives you credit on taxes paid elsewhere
>>534900697What type of business are we talking about here? Will you be delivering only services, and if so, what type of services? or are you planning on selling products? Or both?Are you willing to pay some tax or are you thinking about zero tax? Is this something you already have or something you want to start? Is it a lot of capital involved to start it, or if you started it, was it only a small amount invested in it or a significant amount?
>>534900697Hey, want to know what's really funny about American taxes?They tax their citizens living abroad.You read that right: if you live in another country, you get doubled taxed. Only israelis don't have to.It's fucking hilarious.
>>534901933Let's say all options, just to make it interesting.But if you insist, let's say the business is reselling digital services to people online, followed by investing nearly all profits either back into the business or into long term stocks.Alternatively, let's say the business is instead designing and selling wood products.A third option: income from a job, such as working at a store.
>>534901462Merrill Lynch. Tell them Moshe Cohen sent you. Ask for a Senior account manager. Make sure they're Jewish, Italian or Irish.
>>534900697how rich are you? And there is no hiding from the taxman that you can get here. That is why some people get paid the big bucks.Here are the standard strategies. For the rich, create an irrevocable trust in Nevis island and have that own a US S corp. No tax benefit, but if somebody sues you you can freeze distributions. US judge does not have jurisdiction over nevis.not so rich but still swimming in money? Nevada DAPT that owns US S Corp. Domestic Asset protection does not pay state taxes, you still need to give yourself a salary and will get blasted there.For most of us, disregarded sole proprietorship LLC. No help on taxes but can slightly protect your personal assets in some lawsuits.
>>534901529The only other addition is if you get married that Jumps to around 120k. Its worth it for the added benefits. Just
>>534902642Why S and not C?
>>534902781For the ultra rich, C-corp is actually probably better. It comes down to this, do you want to use your money (S-corp) or do you want to let it grow (C-corp)
>>534902354If your income comes from a digital business, the closest legal path to very low taxes usually involves combining multiple stuff.You would typically operate through an LLC with S-Corp taxation over there, where you pay yourself an OK salary and maximize retirement contributions, deduct all legitimate business expenses, and keep personal spending relatively low. Do you live in a state, such as Florida, Texas, Wyoming, or Nevada? They have no income tax. If the business grows large enough, some owners eventually move abroad and use the foreign earned income exclusion, which can exclude a portion of active foreign earned income from federal income tax if strict residency tests are met.For a physical products business, such as woodworking, the legal approach is usually different. Manufacturing businesses can often reduce taxable income heavily by reinvesting profits into equipment, inventory, facilities, vehicles, and expansion. Because business expenses reduce taxable profit, some growing businesses pay very little tax during aggressive expansion years. This only works if the money is genuinely being spent on legitimate business growth. If the company simply accumulates profit, taxes are usually still owed. Income from an ordinary job from working at a store or another employer, there is almost no legal way in the US to reduce taxes to zero or very little unless your income is already very low. As you probably know, employees have fewer deductions available under US tax law. The main tools are retirement contributions, HSAs if eligible, and moving to lower tax states. If a person earns little enough, deductions and credits may reduce federal income tax significantly, but payroll taxes like social security and medicare are still usually withheld.
>>534900697I pay no tax on my American properties and on paper they make $0 dollars despite raking in the dough. It's a great system. I love America.
>>534903433tell us more!
>>534903433>I pay no tax on my American properties You mean negated by expenses or do you actually have an actual no property tax arrangement.
>>534903637A lot of real estate investors say a property “makes no money on paper” because depreciation can offset rental income even when cash flow is positive. That’s a common feature of U.S. real estate taxation.
>>534903228What about for a business whose income is put into selected stocks, all of which are under a trust that also owns the business?>>534903430Holy based. About to read this.
>>534903430What about the best way to invest all profits in all scenarios via selected stocks? All of which are also owned by the same trust? Just curious. Have to go for now but someone keep this thread going.
>>534903863You're welcome anon :)Also remember that Wyoming and Delaware are very good for LLCs. Delaware is basically a tax haven. No state corporate income tax, no franchise tax, and no personal income tax.
>>534900697Cash business and report whatever you want. If IRS fags come knocking invite them in and sit them down in the chair you have positioned to see into the other room with your full head-to-toe juggernaut suit of handmade level 4 bodyarmor and when you see them notice it distract them by pointing to the painting over the table which you explain is a comissioned rendition of your 6th great grandfather who led a colonial guerilla light cavalry battalion as a Lt. Col. in the revolutionary war, but was suspended for marauding and pillaging after a moderate campaign, and when they go to leave they'll be paying more attention and notice your "I am willing to be unreasonable" killdozer bumper sticker and that your truck sure seems to have a lot of aftermarket metal and extra pieces attached to it.Works for me.
>>534903430I do services and products. Idk, I kinda just pay myself nothing and everything is owned by the business or in the business account. There is a lot of money in the banana stand as they say.>>534903742The one thing I learned about this is you cant just turn an old primary residence into a depreciable investment asset. Rent offsets mortgage and in a few years I will "own" it. Converting a previous residence into an business venture doesnt seem worth it until you get rid of the mortgage, again maybe I fucked it all up. >>534904038most intelligent thread I have seen on the chins in 2-3 years.
>>534904216Any ways to avoid alimony or child support wage garnishment if working a job where you are an employee and not a contractor? Probably not but just asking. Thanks Anon.
>>534904419>>534904455Fucking based lads right here.
>>534903637The albanian is retarded. The depreciation is only for a set number of years and once you sell the property you have to pay every single dollar in depreciation back as taxes plus a percentage of cap gainsStocks are unironically the best way to go
>>534904038Its a tough one since it varies a lot. This is a part that is very complex to be honest with you, but I will try to give you an example here.Lets say your end goal here is to build a structure where business profits are continuously reinvested into selected stocks under a trust controlled system, the cleanest legal setup usually focuses on four separate parts. You have to start with the trust itself. That trust owns a holding company. Then the holding company owns the businesses. Then you have a separate investment company that holds stocks and investments. Then, all of the business profits move into the investment company and are invested long term.If you do so, this will reduce personal taxable income along with protecting the assets. And because you invest long term, taxes will become delayed and the wealth keeps on growing through appreciation instead of salary income.This is how the very wealthy in the US has become wealthy. They keep money invested and they avoid selling stocks unless they have to (then you have to pay tax on gains). They use long term capital gains and borrow against assets instead of selling them. And at the same time, separating businesses from investments for protection and tax planning.
>>534903594Look at the flag. The CIA and the FBI let the Albanian mafia do whatever they want because they are responsible for facilitating the drug trade and human organs trade that go to support American clandestine activity. /pol/ posters obsess over Jews all the time, but they overlook Albanian organized crime. They have a huge presence in Chicago and other big cities
>>534903863Again, do you want to let the money grow? C-corp, 21% tax cap, DRD and section 1202 when you sell. downside is if you want to get money out you get hit with double taxation. There is a huge gotcha here, if the IRS thinks you only hold stock and have no other business they will add 20% tax via Personal Holding Company taxes.If you want to take money out of this company to live, go with S-corp, taxes at your personal rate. If you keep stocks long term there are some benefits with S-corp.
>>534900697This smells like a trap, idk OP. Pretty sure the basic information is there in the 1st thread for those who wish to investigate. This feels more like gathering evidence now, whether individually or against the site as a whole.
>>534900697>on survival>carrying a fendi bagi just can’t take mutts seriously lol
>>534904516The legal way is extremely hard. If you are a regular employee receiving W-2 wages, there is generally no legal way to completely avoid court ordered wage garnishment for child support or alimony once an order is in place. This part really suck in the US because so many are truly abused when it comes to this from the part that gets it. Employers are usually legally required to comply with garnishment orders.However, there are legal ways people sometimes reduce or manage it. That part has to do with requesting a modification if income has genuinely dropped. Usually through showing unemployment, disabiltiy or problems financially.The best part that I can think of, legally, is that the business is separated from personal finances if you are self employed. Dont have a sole proprietorship in this case.Illegaly tho, there are several ways, but you have to be extremely careful by doing it. It is all about being able to hide your income by route your wages secretly through other people or entities. In other words, you have a job but you are not really "connected" to that job.
>>534905405When it comes to child support they way I'd do it is effective child support from birth, basics paid for via a trust in strict itemized fashion, if a divorce happened, it's a strong case to continue the arrangement as is with no padding & harder for her to steal that to spend on herself with all the child bills being direct pay not ever getting into her hands. As well all wealth in a trust beforehand that she can't touch, no 50% asset loss. The part you're still fucked on is alimony, and on the poorer side of the wealth spectrum that's the bigger loss. Only(legal) solution for that is don't get married & don't live in common law states.
>>534904455True. The real estate part is how many of the people get away with little to no taxes. By also having these entities in extremely tax friendly states such as Wyoming and Delaware, make it even easier.And yes that is true. In the beginning it is for most people very hard to be able to pay themselves something or anything at all. Having the money inside the business account that way is not stupid at all. Its all about reinvesting and keep it going that way within the walls of that company. A lot of people tend to do a lot of very risky stuff such as buying a fancy car on the company, and then the company cant afford it and it ends up going bankrupt. But reinvesting in the products that you sell is very smart. And of course as always be on the lookout for the best deals you can get for the products that you sell.
>>534905994Legally, what you are describing runs into a hard reality check in US family law. Probably, legally, some of the most strict parts within family law in the US.You generally cant pre build a system that avoids or fully replaces child support or alimony obligations in the US. For child support, courts treat it as the childs right, not something parents can contract away. Even if you set up trusts or pay expenses directly, a judge can still order standard child support payments based on income and may or may not credit direct payments. Trusts can help with things like education or long term planning, but they don’t override a court’s ability to calculate support or look at your real financial situation. If you control or benefit from the trust, it usually still counts in some form. For alimony, it depends on the state and facts like income and length of marriage. The only reliable way to avoid alimony risk is not being legally married in the first place, though some jurisdictions still consider long-term cohabitation in certain disputes.In general, family courts focus on real income and control of assets, not just how money is structured on paper.
Here is what I'm doing to save on taxes for my stocks. Basically never sell because once you sell you need to pay capital gains taxes. When you need a loan either use margin or sell an SPX box spread to get money at near treasury rates.Because loans arent taxed you get all that money up front.Good news with margin / selling spx box spreads is that there are no monthly payments and since you didnt sell you still get all the appreciation of your stocks.Been doing this strategy for years and it has worked out really good for me.
>>534901462tax attorney and a cpa. non americans, but also not 3rd worlders, they skirt things better. mine are Italian and Israeli. you want a legit firm, but not too legit. trust owns a business and I own a business. everything is deductable. in the end you really only pay tax on the small portion on income you actually live on. housing, cars, gas, insurances etc all tax free.
>>534907130> housing, cars, gas, insurances etc all tax free.How are you getting hosting tax free? I run business bills as ‘building repair’ but spend on my home, still does not drop taxes
