Beware of promoters selling "Pure Trusts" or "Constitutional Trusts" that promise to eliminate income taxes.
The "Substance Over Form" Doctrine
Courts look at the reality of the arrangement, not just the paperwork. If you transfer your business to a trust but continue to run it exactly as before—controlling the bank accounts, making all decisions, and using the funds for personal expenses—the IRS will label it a "Sham Trust."
Consequences
The trust is ignored for tax purposes. You will owe back taxes, interest, and severe civil penalties (often 75% for fraud). Criminal prosecution is also possible for willful evasion.