Posted by John on March 20, 1998 at 11:41:54:
In Reply to: Re: State Sales Tax posted by B.Morris on February 27, 1998 at 10:32:17:
: : :
: I mentioned many months ago in an earlier posting that my wife and I and the business we manage that is owned by a so called "pure trust" was being investigated by the Colorado Department of Revenue for not charging, collecting and paying state sales tax.
: Well guess what? They are filing criminal charges against us and nothing against the Trust.
: The above violation of a C.R.S is a class 5 felony in this state, with a maximum of 1-3 years and a fine of $1,000 to $100,000.
: I could take up a lot of space in telling you how stupid I was to buy into some of the Patriot fairy-tales that led to our current situation, but I won't waste your time.
: It is amazing how anxious people are to convince you of the latest rehtoric, but as soon as trouble comes they are nowhere to be found.
: Once again as I try to figure out my next move. The future in this case looks gloomy(at least according to the people I've talked to; ie. Rommel School of Law, Bill Conklin,Justice Team One,Dennis Posley(our trustee! !)
: Funny, some people sure make it sound easy before the fact. I doubt anyone out there can help, so I won't ask.
: My advise to anyone who reads this is to consider all possible aspects of the choice ahead and count the costs well before you proceed.
: B. Morris
I just found this board a couple of days ago doing research on trusts.
I wouldn't call myself an expert on trusts, but I am familier with them.
First of all you are aware that there are many different types. Even different
variations to the same type. Not getting alot of info on yours up to this point, I
am assuming a few things.
That your trust is based on the U.S. Constitution and the fact that citizens do not
owe taxes. Since they specified taxes, you may have taken it to mean all taxes. To my
knowledge a properly structured trust will legally reduce income taxes, capital gain taxes,
inheritance and death taxes. It will not prevent you from sales taxes. Since your trust works
the way it does (the IRS feels that you are trying to beat the system by not filing taxes).
The trust that I am involved with has its own taxid number, and we file our taxes on a 1041 using
the complex trust checkbox. (This is the same way that the wealthy, Carnegie, Rockefeller, Kennedy,
Mellon and all the other do theirs). But we are still able to legally reduce our taxes by over 97%.
Since we file our taxes telling the IRS where the money comes from, telling them where it goes with legal
deductions and how much we have in taxes (Zero). There is no problem because it is all done by their laws
I know that doesn't help you. My suggestion would be since you are liable for sales tax, you need to
get a professional to help you on that and work it out with them. I have heard that in some cases you
can get what you owe them drastically reduced. This is probably the best way to do it because I don't
think you will when this. If it were just about income taxes, or any of the other taxes I mentioned above,
you would be okay...
I hope everything goes well.
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