Popular Trust Scams

Here is yet another of the popular trust scams that seem to be everywhere.

Popular Trust Scams Letter

Recently a dear friend wrote to me:

“Gary, I want to move my business to Nevada as an llc or an S Corporation, in preparation for forming an IBC, when the funds are available. I also have a pure trust in Nevada. Through the internet there are businesses that form Nevada corporations, including resident agent services.

Before I do it – do you know a business or professional you trust who provides this service? Is this consistent with your business practices?”

Popular Trust Scams Reply

Here was my reply.

“I was on the forefront of using International structures for years, both in investing and in using overseas structures. We were using promoting and managing Cayman, Panama, Isle of Man companies decades before they became a rage. We were in Belize almost 20 years ago. What we used to be able to do legally was amazing, but slowly legislation eroded what can be done for most individuals unless they have really large businesses or estates.

“Unless you plan to do business out of the U.S. or have volumes in the many millions, an IBC won’t accomplish a thing, nor will an overseas trust. The rules have become so complicated and compliance so onerous that I have shut down all my overseas structures. I use only a Nevada Limited Partnership and a Florida Corporation.

“There are so many scam operators in this business now that you really have to really beware. Using them actually makes it more dangerous and visible than not, for the peculiar reason that the IRS had toned itself down within the U.S.

“The IRS has softened its stance in the US but because of this to raise revenues has hardened its focus on overseas structures, especially on promoters of such structures. I have seen several of my readers get in trouble just because they used the wrong promoter.

“I fear that what you mean by a pure trust might indeed mean a trust that does not comply with US tax regulations.

“I am happy to recommend you to my attorney Joe Cox. His address is jcox@coxnici.com

“He is a specialist in tax and estate planning, a dear friend and would not mind at least telling you if what you have really works or could get you into trouble.

“The attorney I use in Nevada is David Johnson. His email is firm@james-law.com. I started using him about ten years ago when he was with the largest firm in Las Vegas, but he is with a smaller firm now. I have never met him, but have been satisfied with the simple statutory work that he has done for me and believe that the advice he would give would be legitimate.

“This is an area fraught with danger. I am really experienced in this stuff. In fact I am the guy that many of the scam artists have copied. The difference is that when I talked about this stuff it was legal. Now it is not. Now much of the stuff offered is just popular trust scams. What I have seen has caused me to back away from this area and this is because I know this business and popular trust scams so well. I would not want to see you and all the positive things you are doing get hurt by believing someone who is not honest or does not know what they are talking about as they promote popular trust scams.

Don’t hesitate to ask any questions.”

Yet I was not finished. I asked my friend Joe Cox to confirm that what I thought was correct. Here is his reply.

Popular Trust Scams Warning

“Gary, the pure trust is a scam and a fraud. Some people who sold popular trust scams just went to jail. Don’t even consider it. However, I enjoy looking at this stuff just to see how bad people can be. I just spoke to the IRS criminal division last week on this issue, our good friend, whom you know Aaron, now works for them.”

Avoid Popular Trust Scams at All Costs

Another great attorney who specializes in legitimate trusts that are legal and do work is Richard Duke and his email address is richard@assetlaw.com

Gary

My novel the 65th Octave looks at scam protection issues. The hero is a scam catching expert who works for big banks. The book outlines why scams work and why suckers always lose. I recommend you read the book. It has some in depth economic information but is also a fast paced, fun read.

Order the 65th Octave at GaryScott.com

Sometimes one picture is worth a thousand words

scams

To avoid scams balance yourself in nature like this cabin at Gary and Merri Scott’s Merrily Farm where you are welcome to visit and stay at Little Horse Creek.