# Time magazine: More expats relinquishing US citizenship



## gino (Jul 20, 2009)

U.S. Expat Taxes Drive Americans to Give Up Citizenship - TIME


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## A90 (Sep 20, 2009)

Very good, now maybe the government will learn that they are not entitled to income produced on foreign soil. (Though I doubt they will.)


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## gino (Jul 20, 2009)

*They've already won that fight*



A90 said:


> Very good, now maybe the government will learn that they are not entitled to income produced on foreign soil. (Though I doubt they will.)


You imply they are entitled to income produced on domestic soil. 

Why are they entitled to income at all? Why should taxes be progressive? Why should some taxpayers pay more than one hundred others collectively for the same services? 

When I'm king of the world, I'll get rid of this one-man/one-vote philosophy. Make it one-dollar/one-vote. Take the taxes you pay and subtract the benefits you receive. If you're paying more than you get back, you've earned the right to vote. If you're taking more from the government than you pay in taxes, you don't get to vote. And if you're risking your life on the front lines of some battle zone, you get to vote twice, maybe three times.


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## Bevdeforges (Nov 16, 2007)

That Overseas Americans Week mentioned in the article is an annual lobbying effort by the ACA and AARO and a couple other expat groups. Unfortunately, they don't get much attention or interest from the members of Congress they do get to talk to.

And the article does tend to downplay some of the difficulties of "turning in your passport." That expatriate tax they mention almost in passing applies for *10 years* after your date of expatriation. So it isn't even a quick fix.
Cheers,
Bev


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## A90 (Sep 20, 2009)

Bevdeforges said:


> That Overseas Americans Week mentioned in the article is an annual lobbying effort by the ACA and AARO and a couple other expat groups. Unfortunately, they don't get much attention or interest from the members of Congress they do get to talk to.
> 
> And the article does tend to downplay some of the difficulties of "turning in your passport." That expatriate tax they mention almost in passing applies for *10 years* after your date of expatriation. So it isn't even a quick fix.
> Cheers,
> Bev


So you are obligated to pay the tax man even after you renounce your citizenship? I thought you just paid the exit tax if you had a value over $600,000.
And to Gino: No, I do not believe they have the right to take anywhere near as much as they do from us. (Even though I am from Massachusetts so I am a bit more open with taxes than some as long as I see results from them.)


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## Bevdeforges (Nov 16, 2007)

A90 said:


> So you are obligated to pay the tax man even after you renounce your citizenship? I thought you just paid the exit tax if you had a value over $600,000.


Eligibility for the "expat tax" is based on total net worth and/or average income over the past 5 years. If you hit the magic numbers, you "win" the obligation to pay taxes on your worldwide earnings to the US for another 10 years after you renounce your citizenship.

There is also a little kicker in there they don't mention. Back in 1996 they added something about how the US attorney general "may" reject any visa request (including, one assumes, entry on a VWP) from a person who has renounced their US citizenship "for tax reasons." (And it's the government that gets to decide what your reasons really were for renouncing.)

I've never heard of this little provision being used (nor repealed) - but I would imagine it depends on the political climate at the time the visa request is made.

Oddly enough, I'd gladly give up the right to vote back in the US if they'd drop the tax filing requirements. Most Senators and Congresscritters have no idea they have any constituents living abroad, and just try to get a letter or e-mail through to one of them from way outside their district!
Cheers,
Bev


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