The NING Trust

IRS Approves Shifting Investment Income From High Tax State to Non-Tax State Without Having to Change Your Tax Residency

Dear Clients, Colleagues, and Friends,

Many of our readers live in a high income tax state and have been considering moving to a low or no income tax state. If you live in California as I do, you saw your state income tax rate retroactively rise by 30% to 13.3%. Many of the California residents are fed up and are getting ready to call “Mayflower Van Lines.”

If you live in one of the higher income tax states, such as CA, IL, NJ, and NY, to name a few, based on a very recent Internal Revenue Service Private Letter Ruling (PLR) 201310002, you can remain where you are and move your investment portfolio and the income it generates to Nevada, a zero income tax state. Continue reading

Does Comprehensive Estate Planning Really Work?

Dear Clients, Colleagues, and Friends,

There have been more court decisions involving failed asset protection planning in the last two years than I can ever recall in over two decades of this focus of my practice area.

What is behind this recent and unusual rash of cases?

To be sure, “bad facts make bad law,” and when comprehensive estate planning (with asset and lifestyle protection) is properly implemented, these types of disputed cases usually settle, because the cost to break the structure without certainty of recovery discourages most claims. Nevertheless, we continually get asked, “Does asset protection actually work?” The answer I offer depends upon your definition of “work”. Continue reading