Thinking about denouncing your US citizenship?

SeaCat

Shared on Tue, 07/01/2008 - 12:38

Thinking about denouncing your US citizenship?  Well, if you do, you will now pay financial penalties for it.  Just passed by Congress was a new law that stops a good amount of your capital at the border if you decide not to be a US citizen anymore.

First, How?  How did this get passed?  In the Heroes act of 2008, just passed by Congress on June 17, there is a little blurb inserted for this.  The law has mainly to do with increased benefits for veterans and families of military soldiers who are deceased.  I for one am getting sick and tired of these Congressional rats sneaking in little provisions here and there that they tack on to a bill that never seem to get noticed or get much attention.

Why?  Why pass something like this?  Are we getting ready to get slammed so hard with tax burden that people may actually want to denounce their citizenship and go elsewhere?  From the article, the Beatles left Britain, Bjorn Borg left Sweden when their governments raised taxes.  Are the lawmakers of this country preparing for the same thing with us?

Maybe, maybe not.  Seems kind of fishy though.  The ultimate insult though is the Death tax.  So, now your taxed if you stay, taxed if you try to leave, taxed for passing on assets if you die.  At what point do people say that we've had enough of the taxing?

Denouncement

Comments

SixTGunR's picture
Submitted by SixTGunR on Fri, 07/04/2008 - 01:27
Well, the last time "enough is enough" happened was around 1775...give or take a few years...LOL
NormalGuy's picture
Submitted by NormalGuy on Wed, 07/02/2008 - 06:48
I don't think I'm trivializing it much at all. And, in fact, I think you make my point. "Normal" people don't know how to do it. But normal people aren't millionaires. If you have the resources to become rich enough to be subject to the Estate Tax, then you have the resources to figure out how to divest of these resources so that you can avoid paying most of it.
RyanFromVegas's picture
Submitted by RyanFromVegas on Tue, 07/01/2008 - 12:48
There have been a few Billionaire types who have chosen to leave with their cash. I think thats the main reason for it, but it will be interesting to see what happens when all the people who did the right thing by living within their means and saving for the future get hit with the bill from all the people who decided to spend now and declare bancrupcy later.
aimzb's picture
Submitted by aimzb on Tue, 07/01/2008 - 12:49
I hate paying taxes as much as the next, I am sure. After Social Security, FICA, local and state taxes, and my retirement and savings contributions (which aren't much these days) half of my pay check is gone. BUT, taxes are the reason I have a job and are the reason my agency was able to serve almost 100 kids last year. Its definitely a fine line to walk. Too much more to say on this topic. I'll have to shut up now.
NormalGuy's picture
Submitted by NormalGuy on Tue, 07/01/2008 - 13:25
Death Tax = Most overrated tax argument in all of politics. It only applies to estates over $2,000,000. And anyone smart enough to amass that kind of wealth is smart enough to avoid the brunt of it via trusts, etc.
SeaCat's picture
Submitted by SeaCat on Tue, 07/01/2008 - 14:24
Normal, I think your trivializing it just a bit. It's fairly easy when you take in to account, investments, mortgages, retirement accounts, assets, stock options, 401k, and a myriad of other things to push over the 2 million dollar mark. Yes, there are ways to reduce that number, but how many "normal" people know to do it? It is not the most overrated, it's an insult to have to pay it, no matter how rich you are.
ATC_1982's picture
Submitted by ATC_1982 on Tue, 07/01/2008 - 14:49
Wow thank you for starting to blog. Eye opener

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