While I'm on a roll here, someone recently posted the following question:
>4God,could you explain further this paragraph.Limits?emergency cash loans?refunds of collateral?reimbursement of expenses?prepayment of expenses?<
-----------------------
My explanation -
<In the event a beneficiary needs to access funds for expenses such as emergency cash loans, home loans, refunds of collateral, reimbursement of expenses or prepayment of expenses, the foundation will activate the plastic receipt and issue the beneficiary a pin number. Benefits will then be obtained through any participating ATM or merchant in the world. Any and all un-activated and activated receipt remains the property of the fundation.>
emergency cash loans
home loans
refunds of collateral
reimbursement of expenses
prepayment of expenses
What do those five things have in common?
---------------------
Not one person here could tell me what they had in common. The answer? None of them are taxable income, they are all tax deductible expenses.
The foundation is set up to preserve wealth. The difference in a wealthy person and a "not so wealthy person" is that the wealthy person is not interested in getting $25k cash out of the foundation so he can buy a car.
The wealthy person will set up a corporation, let the corporation lease the car, pay all liabilities on the car including taxes and insurance, etc. If he spends a penny of his own money he'll very wisely ask for a "reimbursement of expenses".
AI
