| Ultra Trust® | Revocable Living Trust | Domestic Non Grantor Trust | Limited Liability Co. LLC | |
| Asset Protection | YES | NO protection | YES | YES |
| Eliminate Probate | YES | YES | YES | YES |
| Eliminate Estate Taxes | unlimited | only on first $625,000 | Unlimited | XX |
| Defer / reduce Capital Gains Taxes | possibly, under certain conditions | NO | VERTEX TRUST® up to 20 years | NO |
| Defer / reduce Income Taxes | NO
intended for asset protection |
NO | YES, if combined with international structure | NO |
| Form 1040 income tax benefits | YES | YES | NO | YES |
| Comments: | designed to hold your primary residence and ALL your other significant assets; the only structure that can hold Sub "S" stock; qualifies as an Insurance Trust (see footnote A) | designed to eliminate probate. DOES NOT eliminate estate taxes; ABSOLUTELY NO asset protection, nothing more than an extension of your will. In my opinion: a sham perpetrated on you by unqualified professionals. | designed to defer all capital gains taxes when combined with international structure (see deferral of Capital Gains) | Replaces Sub "S"; LLC Entity of choice for all new business entities; strongest asset protection for business (see footnote A & B) |
| Sub "S" Corporation | Family Limited Partnerships | Limited Partnership | General Partnership | |
| Asset Protection |
Courts have rendered this structure worthless |
General partner exposed for 100% of assets | General partner exposed for 100% of assets | ALL partners exposed for 100% of all assets |
| Eliminate Probate |
NO |
NO | NO | NO |
| Defer / reduce Capital Gains Taxes | NO |
possibly |
NO | NO |
| Defer / reduce Income Taxes | NO | possibly | NO | NO |
| Form 1040 Income tax benefits | NO | NO | NO | NO |
| Comments: | White Elephant. He who owns the stock owns the company; NO asset protection for the shareholder; officers, or directors | Designed to slowly leave your company to your children; general partner has NO asset protection under attack by IRS (See footnote A & B) | General partner has NO asset protection; he who controls the GP owns the company (See footnote A & B) | it's extremely unwise to operate as general partnership; not only are you responsible for your own lawsuit(s), but also that of "ALL" your partners potential lawsuits |
Sole Proprietorship: If you operate your business as a " sole proprietorship", it's the absolutely worst way to do business and you're a walking lawsuit. (I'm being tactful with my words).
(Footnote A) The Ultra Trust® is an ASSET PROTECTION FORTRESS when combined with other structures: - the LLC, Family LLC, Limited Partnership, Family Limited Partnership.
(Footnote B) Creditor's sole remedy is a "Charging Order" against partner's "Capital Account Distributions". When will the LLC partner get a "Capital Account Distribution?" Answer: NEVER. Furthermore, the creditor is obligated to pay taxes on your taxable income, even though the creditor receives NO ACTUAL CASH DISTRIBUTIONS. Click here more information on the "Charging Order"