FATCA Is Adding Oil To The Fire Of Citizenship Based Taxation For US citizens Abroad
Tax Samurai just published a post about FATCA and its impact on US citizens living abroad, in deep analysis of FATCA and the outcomes of the lawsuit. FATCA is the symptom of issues, it really exemplifies the issues created by a CBT regime.
Vancouver, Canada, October 1, 2014 (Newswire.com) - Tax Samurai just published FATCA is adding oil to the fire of Citizenship Based Taxation for US citizens abroad, a post about FATCA and its impact on US citizens living abroad, in deep analysis of the source of the problem and the potential outcomes of the lawsuit currently brought against the FATCA IGA in Canada.
Citizenship Based Taxation is also explored. The only way to exit being to surrender US citizenship (renunciation is still free, but the fee to renounce is now $2,350). In a way, the decision if based on one's desire to ever move to the United States since the most important value of citizenship is the unrestricted ability to live and work in the United States.
When it gets too cold at night, sometimes I have crazy dreams, such as this one: a politician would make Residence Based Taxation part of his/her platform. Then a large number of US citizens overseas would move to Florida (not a real move just claiming residency there, still can not vote in local elections, but that's ok it's the federal ones we care about). Florida is a swing state which just so happen to not have state income tax for individuals. But then I wake up, turn up the heater and realize that if anything like that happened on a large scale, Florida would probably make it more difficult to claim residency there (as it is, a trip to Florida is already required), but still, it's nice to dream.
Tax, Samurai
The blog concludes: "When it gets too cold at night, sometimes I have crazy dreams, such as this one: a politician would make Residence Based Taxation part of his/her platform. Then a large number of US citizens overseas would move to Florida (not a real move just claiming residency there, still can not vote in local elections, but that's ok it's the federal ones we care about). Florida is a swing state which just so happen to not have state income tax for individuals.
But then I wake up, turn up the heater and realize that if anything like that happened on a large scale, Florida would probably make it more difficult to claim residency there (as it is, a trip to Florida is already required), but still, it's nice to dream."
