Wyoming is The Best State to Form Your LLCs and Asset Protection Trust
Why file in Wyoming?
Anonymous LLCs
Best asset protection laws
Allows multi-class securities issuance for investors and employee incentives.
Lower cost than abusive states like Nevada and California
Exclusive charging order remedy
No Wyoming state income tax.
A Lawsuit is Filed Every 30 Seconds in the US.
The cost of litigation per person in the US is far higher than any other major industrialized country. The American tort system costs over $750 billion per year. At current levels, US tort costs are equivalent to a 5% tax on wages, and, if the earnings of trial lawyers were combined, they would amass 50% more than Microsoft and twice that of Coca-Cola.
TOM HANKS SLAPPED WITH LAWSUIT OVER SON CHET’S CAR CRASH
Entertainment, The Wrap, Tim Kenneally.
‘Chester Hanks was driving his vehicle in an unreasonable and unsafe manner and was under the influence of alcohol and/or drugs at the time his vehicle struck Mr. Moogan’s vehicle,’ the suit claims. According to the complaint, Tom Hanks and his wife, Rita Wilson own the vehicle that Chet was driving. ‘Despite knowing that Chester Hanks was a careless and reckless driver they negligently handed him the keys,’ said Moogan.
Who Should Use an LLC and APT?
Our Asset Protection Trusts are designed to make it extremely expensive and difficult to bring a lawsuit that will likely fail. Therefore, the trusts are a low cost method of protecting business and personal assets, like real estate, brokerage accounts, homes and other major assets by either forcing the plaintiff to spend tens of thousands of dollars to pursue a lawsuit with massive hurdles, delays and little chance of winning OR make an attractive settlement.
With the grantor’s assets protected, the creditor and their flailing contingent fee attorney are left with a suit against a defendant with no valuable assets. Thus, the APT can protect business people, professionals and individuals who may be open to attorney-driven suits. For example, doctors and attorneys aren’t protected from malpractice by LLCs and corporations; thus they must pay egregious insurance premiums. The APT argues for professionals choosing lower settlement premium costs.
Wyoming Trust Review
Trust Grantors and LLC Owners Don’t Need to be Wyoming Residents
Liberty Street has been using flexible Wyoming law to protect people across the country for years and we simplify the formation process in every state.
We Work To Stop the Creditor’s Attorneys From Filing a Lawsuit
We work with LLC owners to file their locally-owned real property and other recorded items held in the LLC with using Wyoming anonymity making it difficult for the creditor’s attorneys to identify a defendant to sue.
Grantor Trust vs Non-Grantor Trust Taxation
If the grantor retains certain control powers over the trust it will be deemed a grantor trust and the grantor, not the trust, will pay income tax on the trust income. Most of our grantors prefer a grantor trust so they can combine and balance their various personal income sources at lower rates. The grantor trust doesn’t have a separate tax return.
We also offer non-grantor trusts in which income taxes are paid at the Federal trust rates. These trusts remove the assets from the grantor’s estate, which can lower the estate tax rates for large estates.
Domestic Asset Protection Trust Structure
Anonymous LLCs
Anonymous Wyoming LLCs are critical to deterring the initial lawsuit and a judgment-based collection suit from being filed.
Taxation
If the LLC has one member, it’s called a disregarded entity, so the total income earned by the LLC flows through it as a pass-through to the sole member who reports it as income on Schedule C of their tax return. If there are multiple members, then the LLC is taxed as a partnership meaning, after the LLC determines its income, losses, deductions, and credits, each member receives a K-1 report, which informs them what portion of those gains and losses are theirs. The members then use that information to fill out their form 1040. Members of limited liability companies are subject to the FICA deductions.
Dynasty Trust
We create Dynasty Trusts which are long-term entities passing family assets and wealth from generation to generation without incurring transfer taxes.
Purpose Trust
We create Purpose Trusts to carry out a specific purpose, often without naming beneficiaries. This kind of trust generally is more common for protecting items like art and pets.
Legal Risks
An APT will not protect grantors who have engaged in a voidable transactions (Fraudulent Conveyances). And Federal bankruptcy rules allow the trust assets to be distributed to a bankruptcy judge, discouraging filing for bankruptcy. Excepting these two circumstances, the expert legal consensus is that the APT will protect its assets from creditors.
