Posted on 08/07/2013 6:44:03 PM PDT by RKBA Democrat
I recently received some disturbing news that I felt critical to pass on to you.
As we’ve been writing for over four years now, it’s long been a common approach for government sliding into insolvency to confiscate wealth from their own citizens.
Charles I of England infamously commandeered 200,000 pounds of his own citizens’ gold right before the English Civil War in 1638. Roosevelt confiscated his entire nation’s gold holdings roughly three centuries later.
And of course, Cyprus raided domestic bank accounts earlier this year in a desperate attempt to bail-in the national banking system.
It’s foolish to think that these things cannot happen, especially when you look at the numbers.
The United States government is in debt to the tune of nearly $17 trillion. What’s more, Uncle Sam has to borrow money just to pay interest on the money they’ve already borrowed… and they’re still posting trillion-dollar annual deficits.
SNIP
One of the best solutions over the past few years, particularly for IRA account holders, was to set up a special type of self-directed IRA.
In this structure, your IRA exclusively owns a domestic LLC, and you as the IRA account holder become the manager of the LLC.
This gives you the authority to directly manage your retirement funds, allowing you a lot of flexibility to ship your savings overseas, invest in foreign real estate, etc. as long as you stay away from a clear set of ‘prohibited transactions’ that the IRS outlines.
These IRA structures are incredibly flexible, and I think one of the best ways for people to safeguard what they’ve worked their entire lives to build.
So here’s the disturbing news… and it’s something you won’t hear about anywhere else.
One of the attorneys that I work with routinely has specialized in setting up these types of structures. He’s an accomplished tax professional with decades of experience under his belt, and he recently told me that the IRS is no longer ‘allowing’ this type of structure.
More specifically, the IRS is refusing to issue tax ID numbers for single-member LLCs that are owned by an IRA… which is the specific structure that US taxpayers need to create in order to ship their retirement savings overseas.
Don't think that confiscation is coming via "safe" investments in government bonds? The Greeks didn't think so, either. Here is an article about their rude awakening.
http://uk.reuters.com/article/2012/11/30/us-greece-crisis-pensions-idUKBRE8AT0CV20121130
Much as it pains me to say it, investing your retirement savings in an IRA or 401(k) has become a sucker's bet.
“You didn’t save that!”
As an aside, your screen name might suggest you are a Democrat, except that you believe in the second amendment. Is that correct?
later read
Your IRA or 401 is not yours and never was. It belongs to the IRS and will be distributed as they wish
Shut it down in 09. Mattress’s or loan sharking from that point on.
I have seen a rebuttal to this from a finance person who responded to someone posting this on Twitter...the IRS is still issuing the LLC’s....not that they might not shut it down in the future, though.
my my, we’ve come a LONG way since coupon bonds
I put my after-tax investments in an indexed annuity for a tax-free retirement.
“Greedy money hoarders that refuse to share.” Get ‘em!
Former ‘rat, emphasis on the FORMER. But I was still a ‘rat when I became a FReeper years ago. I keep the screen name for nostalgia. At this point, my partisan position has evolved to the view that the ‘rats and the gop are just two wings of the same uniparty who differ slightly in rhetoric and not at all in substance. I guess I could identify as a ‘rat or even a republican, but I don’t see the point.
As for the RKBA...my views have simply hardened over time. Guns save lives, guns save liberty.
Does that help?
I hope it is. If not, I see a booming business in selling established LLCs with TINs to those who still want to use this technique to diversify.
Quite well, thanks. For reasons that are best left unsaid, My experiences have also driven Me to the point where I know that the only thing that keeps us free is our Keeping of Arms.
“Welcome to the party pal!
One thing I found out the hard way is that you have to be anal about keeping IRA records. I got absolutely massacred due to a very simple mistake when I transferred an inherited IRA between banks. Basically, it ended up being counted as a distribution AND an excess contribution. Of course, I only found out about it years later. It was a total nightmare.
Options are keep it and it will be worthless or have the gov-mint confiscate it.
you do not need a tax id number for a single member llc, you can use your social..................
Yep. It’s an “innocent mistake” if the IRS does it. A felony if you do.
Or cash it out and take the tax hit. Any way you slice it, you lose.
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