Dual citizenship?

[miketsp]

---

---

A ScubaBoard Staff Message...

This post has been split from another thread as it was just too wildly off topic to leave it. I would remind members that political discussions belong in the Pub, so please stick to answering the question at the risk of the thread being otherwise relocated. The originating thread can be found here: http://www.scubaboard.com/forums/cozumel/471618-corporate-foreign-diving-ousts-dive-palancar.html Marg, SB Senior moderator

---

Since this thread has drifted on and off topic let me ask a question. A number of contributors on this thread seem to be US ex-pats who have business interests in Mexico/Coz.
Is it worthwhile continuing to retain your US citizenship following the FATCA legislation in 2010?
I work (in Brazil) with and know a number of US ex-pats who have been out of the US for many years but are now running into problems because their banks are shutting down their accounts rather than do the required reporting to the US government.
Plus those that have built up successful businesses are now getting hit hard with US taxes.
Most are now looking into rescinding their US citizenship.

"First, the Foreign Account Taxpayer Compliance Act’s (“FATCA&#8221 March 2010 enactment further complicated the tax burdens of American citizens living abroad. For example, many foreign financial institutions are blaming FATCA’s reporting obligations for their refusal to provide necessary financial services to U.S. citizens. In addition, FATCA requires all U.S. citizens, including those living abroad, to report more information on their non-U.S. financial assets. As would be expected, U.S. citizens living abroad can have a substantial number of non-U.S. financial assets."

http://americansabroad.org/files/1413/7848/1535/harvey_2013.pdf

 

[lindenbruce]

Hum..... Interesting. It looks like if you earn more than 97,600.00 dollars outside of the US then those wages would be taxed. Which brings to mind all of those high paying security jobs at over sea's location via American based companies just what are those individuals are doing for taxes? I have been told the monies earned on those jobs are tax free. But I guess that has been changed huh?

There is also a tax code for those who sell off their US assets one day and move out of the US the next day. So doing that will not get those individuals out of paying the taxes on those liquidated assets. I would think if one were planing on moving out of the US permanently, then one would want to liquidate their assets and allow some significant amount of time to pass before moving out of the US permanently. How much time that would be I don't know. I would guess a year?

So, I looks like the best relief would be to have congress raise the amount allowed to be earned abroad before it becomes subject to US taxation. That would prolly be the easiest way to do it. But that would take rallying congressmen to get that bill passed. Otherwise I think people are kinda of screwed right now and will have to start thinking more long term. B.

 

[Wookie]

I have a cousin who is chief mate on the drill ship Discovery in Brazil. She is paid a differential equal to her taxes, essentially making her tax free.