QUESTION

I am the owner and sole stockholder in a small Subchapter S Corporation, holding mostly real property, I am married, with three married children.

Asked on Apr 28th, 2012 on Estate Planning - Florida
More details to this question:
I want to transfer my shares of stock into a revocable qualifying subchapter s grantor trust, then into an LLC?, one tight package, with my wife and myself as beneficiares (income or otherwise). The only other assets, cash, IRA and our home currently in my wife''s name. P.S. The corporation has an add''l piece of real property in North Carolina in my name, want to transfer (quit claim) that into the corporation. All othe real estate is in FL, motive in estate plan... to protect personal assets, I have liability in my fiducuiary work. May I respcecfully ask you comments?
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1 ANSWER

Not sure I understand the complete picture of what you are trying to do from your description.  I would need to gather a lot more information.  Generally, though, in Florida placing an asset that you own into any type of a revocable trust does not give asset protection benefits - it is generally referred to as a self - settled trust.  Some statues do allow self-settled asset protection trust, but it is uncertain whether that asset protection will be recognized by the courts of Florida and other jurisdictions. Another comment I would make is to consider holding title to real estate in a multi member LLC rather than a corporation.  There are asset protection benefits under that structure.  And try not to hold multiple real estate assets which have the potential of liability (like rental properties) in the same LLC.  A claim on one of the eproperties could also subject the other properties to liability if they are owned under the same LLC. This is specific to Florida law and does not constitute legal advice as the facts presented are anonymous and incomplete. This is intended for general education only and does not create an attorney-client relationship. This should not be relied on and you must seek your own attorney client relationship.
Answered on May 01st, 2012 at 5:35 PM

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