The great American tax haven: why the super-rich love South Dakota

[DGUtley]

The great American tax haven: why the super-rich love South Dakota. It’s known for being the home of Mount Rushmore – and not much else. But thanks to its relish for deregulation, the state is fast becoming the most profitable place for the mega-wealthy to park their billions.

This is a very interesting article. From the article:

Super-rich people choose between jurisdictions in the same way that
middle-class people choose between ISAs: they want the best security,
the best income and the lowest costs. That is why so many super-rich
people are choosing South Dakota, which has created the most potent
force-field money can buy – a South Dakotan trust. If an ordinary person
puts money in the bank, the government taxes what little interest it
earns. Even if that money is protected from taxes by an ISA, you can
still lose it through divorce or legal proceedings. A South Dakotan
trust changes all that: it protects assets from claims from ex-spouses,
disgruntled business partners, creditors, litigious clients and pretty
much anyone else. It won’t protect you from criminal prosecution, but it
does prevent information on your assets from leaking out in a way that
might spark interest from the police. And it shields your wealth from
the government, since South Dakota has no income tax, no inheritance tax
and no capital gains tax.

https://www.theguardian.com/world/20...=pocket-newtab


giphy.gif

[Peter1469]

Looks like my new number one place for retirement.

[donttread]

The great American tax haven: why the super-rich love South Dakota. It’s known for being the home of Mount Rushmore – and not much else. But thanks to its relish for deregulation, the state is fast becoming the most profitable place for the mega-wealthy to park their billions.

This is a very interesting article. From the article:

Super-rich people choose between jurisdictions in the same way that
middle-class people choose between ISAs: they want the best security,
the best income and the lowest costs. That is why so many super-rich
people are choosing South Dakota, which has created the most potent
force-field money can buy – a South Dakotan trust. If an ordinary person
puts money in the bank, the government taxes what little interest it
earns. Even if that money is protected from taxes by an ISA, you can
still lose it through divorce or legal proceedings. A South Dakotan
trust changes all that: it protects assets from claims from ex-spouses,
disgruntled business partners, creditors, litigious clients and pretty
much anyone else. It won’t protect you from criminal prosecution, but it
does prevent information on your assets from leaking out in a way that
might spark interest from the police. And it shields your wealth from
the government, since South Dakota has no income tax, no inheritance tax
and no capital gains tax.

https://www.theguardian.com/world/20...=pocket-newtab


Attachment 27438

We just need one set of rules for everyone. Is that too muck to ask. The same with nursing home payment dodging trust.

[DGUtley]

We just need one set of rules for everyone. Is that too muck to ask. The same with nursing home payment dodging trust.

Well, it would require a change of the constitution, i.e. the elimination of the principles of defined/reserved powers etc. That's 'too much to ask' in my book.

[Peter1469]

We just need one set of rules for everyone. Is that too muck to ask. The same with nursing home payment dodging trust.

You mean ignore federalism?

We need local rule. Not a omnipotent central government.

[BenjaminO]

The great American tax haven: why the super-rich love South Dakota. It’s known for being the home of Mount Rushmore – and not much else. But thanks to its relish for deregulation, the state is fast becoming the most profitable place for the mega-wealthy to park their billions.

This is a very interesting article. From the article:

Super-rich people choose between jurisdictions in the same way that
middle-class people choose between ISAs: they want the best security,
the best income and the lowest costs. That is why so many super-rich
people are choosing South Dakota, which has created the most potent
force-field money can buy – a South Dakotan trust. If an ordinary person
puts money in the bank, the government taxes what little interest it
earns. Even if that money is protected from taxes by an ISA, you can
still lose it through divorce or legal proceedings. A South Dakotan
trust changes all that: it protects assets from claims from ex-spouses,
disgruntled business partners, creditors, litigious clients and pretty
much anyone else. It won’t protect you from criminal prosecution, but it
does prevent information on your assets from leaking out in a way that
might spark interest from the police. And it shields your wealth from
the government, since South Dakota has no income tax, no inheritance tax
and no capital gains tax.

https://www.theguardian.com/world/20...=pocket-newtab


Attachment 27438

My wife grew up in Lead (pronounced Leed) S.D. It's an old gold mining town in the mountains above Deadwood. The famous town where Wild Bill Hickok was killed. Well worth the visit. Check out the old gold mine museums if you go up to Lead. The mine is closed.
Another thing S.D. is known for is Sturgis and the annual bike rally held there. If you've never been to one, try to get there. You don't need a bike to enjoy the festivities.
We have relatives in S.D. and are seriously considering moving out there when the wife retires.

Only problem is the winters are a b**ch. grrrrr
They actually have gates that can block access to the entrance ramps to Interstate 90 in the winter to prevent anyone even trying to drive.

[Peter1469]

My wife grew up in Lead (pronounced Leed) S.D. It's an old gold mining town in the mountains above Deadwood. The famous town where Wild Bill Hickok was killed. Well worth the visit. Check out the old gold mine museums if you go up to Lead. The mine is closed.
Another thing S.D. is known for is Sturgis and the annual bike rally held there. If you've never been to one, try to get there. You don't need a bike to enjoy the festivities.
We have relatives in S.D. and are seriously considering moving out there when the wife retires.

Only problem is the winters are a b**ch. grrrrr
They actually have gates that can block access to the entrance ramps to Interstate 90 in the winter to prevent anyone even trying to drive.

I like hard winters. Spent time in Upstate NY and in Korea during their harshest winters since the war. So long as I had a well constructed house I would be golden. I can get a wood stove and a generator.

[BenjaminO]

I like hard winters. Spent time in Upstate NY and in Korea during their harshest winters since the war. So long as I had a well constructed house I would be golden. I can get a wood stove and a generator.

My first 50+ years were in West Michigan where we had plenty of snow and a few full blown blizzards. I love bundling up and going out in a four wheel drive during snow storms.
My wife tells me however, and because she has experienced both MI and S.D., winter in S.D. is even harsher. That sounds more like a good challenge rather than a problem to me.

I was living in Springfield when Snowmageddon 2010 happened. I wasn't worried about being able to get around myself, it was the idiots who didn't know how to drive in the snow and slippery conditions that bothered me. Remember all the abandoned cars and blocked roads during that snow storm?

[Peter1469]

My first 50+ years were in West Michigan where we had plenty of snow and a few full blown blizzards. I love bundling up and going out in a four wheel drive during snow storms.
My wife tells me however, and because she has experienced both MI and S.D., winter in S.D. is even harsher. That sounds more like a good challenge rather than a problem to me.

I was living in Springfield when Snowmageddon 2010 happened. I wasn't worried about being able to get around myself, it was the idiots who didn't know how to drive in the snow and slippery conditions that bothered me. Remember all the abandoned cars and blocked roads during that snow storm?

I had to drive onto medians to get around jack asses who gave up and parked in the middle of the road.