- 8 -
representing 100 units of ownership in the Charitable Trust.
The Muhichs were the trustees.
On May 15, 1994, the Asset Trust created The Muhich Business
Trust (Business Trust). The Asset Trust funded the corpus with
$10 in exchange for a CBI representing 100 units of ownership in
the Business Trust. The Muhichs were the trustees.
On May 18, 1994, the Business Trust established The Muhich
Equity Trust (Equity Trust) and The Muhich Vehicle Trust (Vehicle
Trust). The Business Trust funded the corpus of each trust with
$10 in exchange for a CBI from each trust representing 100 units
of ownership in each. The Muhichs were the trustees.
The Muhichs listed their personal residence at 1106 West
Dianne as the address for the five trusts. As sole trustees and
exclusive beneficiaries of all five trusts, the Muhichs had
exclusive control over the trust property. They had the right to
receive distributions at their sole discretion and controlled all
the bank accounts. Their ability to deal with and benefit from
all trust property was as free and unrestricted as before the
trusts were established.
Midwest continued to operate as a corporation and continued
to conduct business the same as before the trusts were created.
Petitioner's work and duties at Midwest remained the same, but he
no longer took a salary from Midwest. Instead, he caused Midwest
to contract with the Asset Trust for the provision of his
Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Next
Last modified: May 25, 2011