Fugitive Tax-Slaves

Upcoming European Financial Trading Tax: “All Markets, All Actors, All Products”

"The tax would be owed no matter where the trade took place, as long as a European security or European institution was involved. If a French bank bought shares in an American company on the New York Stock Exchange, the tax would be owed. To get out of the tax, a financial institution would have to do more than simply move its headquarters out of the 11 countries that now plan to impose the tax. It would also have to forgo serving clients in any of those countries and trading in securities or derivatives from any of the countries. Officials are confident that no major institution will be willing to forsake such large markets as France, Germany, Italy and Spain." Continue reading →

Continue ReadingUpcoming European Financial Trading Tax: “All Markets, All Actors, All Products”

Avoiding the Snowbirds’ IRS trap

"Their 'border binder' contains a detailed snapshot of their lives, tangible proof of who they are, where they live for most of the year, who they bank with, even their credit card statements. Like the other 70,000 members of the Canadian Snowbird Association, the Slacks would never leave home without it. Overkill? Not if you don’t want to be treated like a U.S. taxpayer. Snowbirds tagged as a 'substantial presence' can still dodge the bullet on U.S. taxes. But they will need to file 'Form 8840 Closer Connection Exception Statement for Aliens' with the IRS. Failure to file this form could result in hefty fines, even if no taxes were owed." Continue reading →

Continue ReadingAvoiding the Snowbirds’ IRS trap

FATCA: Probably the Worst Law Americans Don’t Know About

"Earlier this month, the Obama administration began preparing new legislation to force U.S. banks to disclose more information on foreign investors to those investors’ home governments. Could this because the IRS has only an empty hand to offer when it comes to reciprocity? However, the Obama administration has an uphill battle in convincing Congress to enact such coercive legislation. Many in Congress fear that foreign investors could pull trillions of dollars out of U.S. banks if the proposal becomes law. That could dramatically reduce foreign purchases of U.S. Treasury debt and crush the U.S. dollar. More blowback." Continue reading →

Continue ReadingFATCA: Probably the Worst Law Americans Don’t Know About

The Shearing of the Sheeple

"If we use Sir Arthur's logic, when we have eliminated the impossible in this case, what we are left with, however improbable, is that the State's objective is indeed to achieve what it is achieving – denying the depositor his liberty, whilst implying that there is something inherently wrong with the purchase or sale of precious metals. But what is the benefit to the authorities in doing so? By treating those who buy and sell precious metals in the same way as drug lords are treated, it becomes easy to convince the general public that it was a good thing the metals investors were stopped from doing what they were doing. And that's the whole point." Continue reading →

Continue ReadingThe Shearing of the Sheeple

Canadian citizenship-stripping plan good politics but dodgy policy

"Immigration Minister Jason Kenney’s plan to strip Canadian terrorists of their citizenship is clever Conservative politics. There’s a feeling out there that just too many people are using Canada as a country of convenience — that they obtain citizenship to take advantage of programs like medicare but that their real loyalties are elsewhere. Now he’s taken advantage of a 2012 terrorist outrage in Bulgaria to advance the far more controversial idea of giving Ottawa the right to strip dual nationals of their Canadian citizenship. Native-born Canadians who also happen to be dual nationals could have their Canadian citizenship revoked by fiat." Continue reading →

Continue ReadingCanadian citizenship-stripping plan good politics but dodgy policy

Should Americans Emigrate Or Defect?

"America still allows emigration; the door has not yet slammed. But America punishes the act and it is proposing legislation to punish it more. For example, a bill called the Ex-PATRIOT Act would ban anyone who expatriates from ever setting foot again on American soil. As the law stands today, the 'exit tax' for those who emigrate without renouncing citizenship is to be saddled with a US tax liability in perpetuity; in short, double taxation. The 'exit tax' for those who renounce citizenship is the complexity of the process and a confiscation of wealth from those who have it. This is a fiscal Berlin Wall." Continue reading →

Continue ReadingShould Americans Emigrate Or Defect?

Privacy at Risk: Global Gold Storage Firms Get Rid of US Citizens

"Big gold depositories like Gold Money and Bullion Vault 'ALL use ViaMat as a primary secure storage provider.' As a result, ViaMat's decision will have an effect on the rest of the gold investing community, especially when it comes to US vendors. It is surely a good idea to work with a firm that does not have US exposure when storing gold, but there is a growing trend among regulatory democracies generally to insist that citizens constitute a state asset. Increasingly, US officials in particular are insisting that US laws and taxes are to be enforced everywhere in the world and are turning to foreign companies to generate compliance." Continue reading →

Continue ReadingPrivacy at Risk: Global Gold Storage Firms Get Rid of US Citizens

Cost of Dropping Citizenship Keeps U.S. Earners From Exit

"The U.S. taxes citizens on their worldwide income even if they live in another country. This year, Congress raised the maximum tax rate to 39.6 percent from 35 percent. The increase is coupled with higher levies on capital gains and dividends for top earners of as much as 23.8 percent compared with 15 percent in 2012. States including California also have raised taxes on top earners. The U.S. government generally imposes an exit tax on high earners to discourage them from expatriating as a way of avoiding taxes. If parents move to another country and leave money upon death to their U.S. citizen children, levies similar to the estate tax apply." Continue reading →

Continue ReadingCost of Dropping Citizenship Keeps U.S. Earners From Exit

U.S. Judge: Fifth Amendment Doesn’t Apply To Foreign Bank Accounts

"In a victory for the government, Pauley said individuals can’t assert a constitutional right against self-incrimination and refuse to disclose bank records to a U.S grand jury. The records sought include the name in which each account is maintained, number of others tied to the account, the address of the bank, and the maximum value of each such account. More than 38,000 Americans avoided prosecution by entering an IRS amnesty program in which they paid back taxes and penalties while disclosing the banks and bankers who helped them hide offshore accounts." Continue reading →

Continue ReadingU.S. Judge: Fifth Amendment Doesn’t Apply To Foreign Bank Accounts