Americans renouncing citizenship in record numbers, seek to avoid tax

[Dos Equis]

Not sure what I think about this.  My knee jerk reaction is it's unAmerican, which I guess doesn't matter if they are renouncing their citizenship.  But I can see the other side of this, where the government takes so much of someone's money (and then wastes it) that they get fed up with being abused by the tax man. 

Americans renouncing citizenship in record numbers, seek to avoid tax
Published August 12, 2013
 
The U.S.'s crackdown on global tax evaders is leading to a record number of people renouncing their citizenship, and its effects are being felt keenly in Asia -- now the world's wealthiest region by household assets.

A growing number of wealthy Americans in Asia -- and others with green cards -- are exploring whether to renounce their U.S. citizenship or give up their green cards to avoid onerous tax obligations.

Globally, more U.S. citizens have renounced their citizenship in the first and second quarters than all of 2012 combined, and 2013 is already on track to becoming a record year for renunciations. A total of 1,130 names appeared on the latest list of renunciations from the Internal Revenue Service, according to Andrew Mitchel, a tax lawyer who tracks the data. That is far above the previous high of 679, set in the first quarter, and more than were reported in all of 2012.

While those numbers are still a fraction of the estimated six million Americans living abroad, lawyers say the main trigger for cutting ties with U.S. recently is the Foreign Account Tax Compliance Act, or Fatca, which requires foreign institutions to disclose the overseas assets of U.S. green-card holders and citizens to the U.S. government.

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The U.S. Congress estimates that tax evasion by U.S. citizens results in losses of up to $100 billion a year. The main objective of Fatca is to identify people who may be evading taxes through offshore investment vehicles.

"When I became an immigration lawyer 30 years ago, people really were excited about going to America. Now, more than half of my clients are people thinking of other alternatives rather than people seeking to immigrate to America," said Eugene Chow, the principal of Chow King & Associates.

http://www.foxnews.com/politics/2013/08/12/americans-renouncing-citizenship-in-record-numbers-seek-to-avoid-tax/?intcmp=obinsite#ixzz2bnaedfbM

[chadstallion]

damn them!
they'll never get called for jury duty!!!

[Dos Equis]

damn them!
they'll never get called for jury duty!!!

Yet another insightful comment!
Thank you chadstallion! 

 

[Tedim]

When Rome fell....there were 2 tax collectors for every citizen.

[avxo]

When Rome fell....there were 2 tax collectors for every citizen.

Since tax collectors were citizens too, this seems to present a slight problem. Unless they outsourced?

Sidenote: renouncing citizenship isn't as simple as it sounds by the way. Take a look at http://www.irs.gov/Individuals/International-Taxpayers/Expatriation-Tax to see how the IRS has special rules on dealing with those who renounce their citizenship, and how much it costs.

[chadstallion]

Yet another insightful comment!
Thank you chadstallion! 

 

my pleasure. what's a bodybuilding/steroid site for if not for insightful comments?

[Dos Equis]

my pleasure. what's a bodybuilding/steroid site for if not for insightful comments?

Don't worry.  You have cornered the market. 

[240 is Back]

USA is actually comparatively low in tax rates compared to Europe and other parts of the world:

http://www.theatlantic.com/business/archive/2013/01/how-low-are-us-taxes-compared-to-other-countries/267148/

[avxo]

USA is actually comparatively low in tax rates compared to Europe and other parts of the world:

http://www.theatlantic.com/business/archive/2013/01/how-low-are-us-taxes-compared-to-other-countries/267148/

Comparatively low is a nice way of saying "only slightly murdered." The fact is that our government takes too much from us at the point of a proverbial gun. That it happens to take less in the process than other governments take from their citizens doesn't change the fact that it takes too much.

[Straw Man]

HOLY SHIT

1130 people and we don't even know for sure it their motivation was solely to avoid taxes

[Dos Equis]

USA is actually comparatively low in tax rates compared to Europe and other parts of the world:

http://www.theatlantic.com/business/archive/2013/01/how-low-are-us-taxes-compared-to-other-countries/267148/

Ridiculous.  Who cares if American taxpayers are getting abused the same or even slightly less than some other countries?  Doesn't lessen the tax burden one bit here. 

[syntaxmachine]

U.S. expats can exempt $97.6K plus housing costs from taxes, meaning that most don't pay anything. That said, it seems wrong for somebody who isn't even in the country -- and may not have been for years -- to be subject to the upper range of marginal rates.

Having an American passport is an extreme privilege, one that yields many benefits when working overseas. For that reason, I still think a small tax is justifiable, albeit one more along the lines of a state tax (0-5% of income).

[Roger Bacon]

Having American Citizenship is becoming more and more of a liability.  

[Soul Crusher]

Comparatively low is a nice way of saying "only slightly murdered." The fact is that our government takes too much from us at the point of a proverbial gun. That it happens to take less in the process than other governments take from their citizens doesn't change the fact that it takes too much.

bbbooommmmmmm   

[whork]

USA is actually comparatively low in tax rates compared to Europe and other parts of the world:

http://www.theatlantic.com/business/archive/2013/01/how-low-are-us-taxes-compared-to-other-countries/267148/

Yeah my country is number 1

 

[Dos Equis]

Having American Citizenship is becoming more and more of a liability.  

How so?

[Soul Crusher]

http://www.bbc.co.uk/news/magazine-24135021

Still increasing under the polices of O-TWINK

[chadstallion]

http://www.bbc.co.uk/news/magazine-24135021

Still increasing under the polices of O-TWINK

good riddance. let them be England's problem.

[24KT]

It's not JUST the taxes that many Americans are unhappy with, ...it is the decimation of the American way of life.

It is the shredding of both the Constitution, and the Bill of Rights, along with a growing awareness of the "Rogue State" within which they currently reside, that is also playing a factor in their decisions to leave.

There are plenty of countries on those lists whose rates of taxation are significantly higher than America's, ...but you don't see their citizens chomping at the bit to leave. Ya... many may belly ache about the high taxes, ...but unlike citizens of the USA, many of these countries' citizens are actually getting something for the taxes they pay.

Pretty sooon, it's gonna be like I predicted many years ago. Remember that border fence with Mexico that so many here cheered the construction of? That fence that didn't do diddly poop to keep undocumented Mexicans from crossing into US territory? Do you know why it doesn't keep Mexicans OUT of the USA? I'll tell ya why... it's because it was never designed to do that in the first place, ...but don't be surprised if it does serve to keep YOU within the USA though. Sometimes the very walls you build to keep others out, can also serve as the very prison that keeps you in. Just sayin'

[Fury]

It's not JUST the taxes that many Americans are unhappy with, ...it is the decimation of the American way of life.

It is the shredding of both the Constitution, and the Bill of Rights, along with a growing awareness of the "Rogue State" within which they currently reside, that is also playing a factor in their decisions to leave.

There are plenty of countries on those lists whose rates of taxation are significantly higher than America's, ...but you don't see their citizens chomping at the bit to leave. Ya... many may belly ache about the high taxes, ...but unlike citizens of the USA, many of these countries' citizens are actually getting something for the taxes they pay.

Pretty sooon, it's gonna be like I predicted many years ago. Remember that border fence with Mexico that so many here cheered the construction of? That fence that didn't do diddly poop to keep undocumented Mexicans from crossing into US territory? Do you know why it doesn't keep Mexicans OUT of the USA? I'll tell ya why... it's because it was never designed to do that in the first place, ...but don't be surprised if it does serve to keep YOU within the USA though. Sometimes the very walls you build to keep others out, can also serve as the very prison that keeps you in. Just sayin'

Haha, listening to an uneducated Canadian who jumped into the gold market at the peak of prices give advice on America is like asking a blind man to read a clock.

[Soul Crusher]

http://www.forbes.com/sites/robertwood/2014/02/06/americans-renouncing-citizenship-up-221-all-aboard-the-fatca-express



 

[dario73]

http://www.forbes.com/sites/robertwood/2014/02/06/americans-renouncing-citizenship-up-221-all-aboard-the-fatca-express
 

Oh, I am sure it is only a coincidence that the two record setting totals for people renouncing their US citizenship were set in the last 3 years. It can't have anything to do with libtard economic ideology. Could it?

Or we can pretend this it is insignificant by using libtard logic which diminishes facts by pointing out it's only a small number. Oh, it's only 5 million (now close to 7 million and rising) that lost their insurance BECAUSE of crapcare. It's only 2.5 million workers that will be pushed out the workplace by crapcare. As if those numbers won't increase. You would think they would learn after realizing that the 2.5 million workers is three times what was originally cited by the CBO or that it is going to cost twice as much, perhaps even more, to continue to implement crapcare.

It is interesting that libtards never mention that homos only make up 3 to 5 percent of the population when they defend their interests at every turn. Nah, the "it's only a small number" argument is only used to destroy anyone or anything that is opposed to their retarded liberal agenda.

[Soul Crusher]

http://news.yahoo.com/more-renounce-us-citizenship-deny-stereotype-162509477.html


O-Fag legacy

[avxo]

The law on how renouncing citizenship affects one's tax obligations almost borders on the insane. To make a long story short: denouncing one's citizenship doesn't magically absolve one of tax obligations.

We desperately need an overhaul of the tax system, including support for return-free filing, dramatic reductions of income^* and capital gains tax rates, a shift to a consumption-based tax, and a reevaluation of special exemptions and custom tax regimes for specific industries.

^* I'm not bold (or naive) enough to suggest outright elimination of personal income taxes: that will never happen.

[Soul Crusher]

http://blogs.wsj.com/totalreturn/2014/10/24/more-americans-renounce-citizenship-with-2014-on-pace-for-a-record/?mod=WSJ_hpp_sections_yourmoney