Tax and Liability issues

[irsGuru]

I have heard that if you were personally sued in civil court you have to declare company stock as assets and they can be seized if you lose - thereby losing your corporation. Is that true? Also, do you have to declare your membership in an LLC in civil court personal cases, and risk losing that also? I have heard that if you form a non-stock corporation, then you don't have to declare company assets in a personal action and risk losing the company, is that true?

Regarding taxes; If you have to form a non-stock corp in order to protect it from losing your company in a personal liability case, won't that create a problem with the tax savings of income splitting from a corporation, taking part of the money as salary and part as corporate income which I understand may be taxed at a lower rate?

TIA, Jeff