Asset Protection Nevada-Style - Exempting Away Liabilities

October 8, 2004
By Katherine Curtis

Some states are exemption happy and asset protection Nevada's way is no exception. Many proprietors purposely seek out Nevada's asset protection laws to guard their valuable real estate. On the other hand, Nevada is home to tax scam artists who are ruining the state's friendly reputation.

Taxing Nevada's Patience.
Casino taxes solely pay for Nevada's funding. Hence, state income tax is not collected in The Silver State. This attracts many scam artists, known as "asset protection consultant franchises", to the gambling paradise of the United States.

Professionals are working hard to maintain the integrity of asset protection Nevadian way and are posturing to toughen the parameters under which these credit agencies can pursue debtors.

Casinos Are The Only Places Protected In Nevada.
Homestead exemptions are some of the best in the nation, at a declaration up to $200,000. Other asset exemptions include annuity contract proceeds that do not surpass $350 per month. Up to $500,000 ERISA benefits are excused. Another IRA and pension plans that fall under exemption include public employee pension plans.

As with every state, many transfers are not permitted. "Nevada Fraudulent Transfer Acts" covers these conditions such as insolvency, affiliates, present value, determination of intent, good faith, and time frames.

LLC and Corporation Privileges.
Domestic Asset Protection Trust (DAPT) is very strong in Nevada. Many businesses elect to protect themselves with Nevada's LLC and corporation guidelines. The guidelines protect the business owner against lawsuits and establish the LCC or corporation as a separate legal entity outside their owner. Nevada is also well known for its anti-creditor trust act and self-settled spendthrift trusts, whereby an owner can establish a trust for the owner's benefit that cannot be touched by creditors.