Renouncing Citizenship

[thongd4me 69]

There, There, Nice Doggie!

[esoll 0]

To give you a bit of info.

If you move to EU and are a US citizen you will pay taxes on your income from the EU but, and this is important. You will start paying taxes only above a certain income and I believe this limit is high. I remember looking at it when I become an US citizen and it was around $80K 10 years ago.

Find out and this could be a none issue.

ESoll

[AusCal 3]

I know that the US is one of the very few countries in the world who require their citizens to pay tax if they are non resident. For instance, I don't pay UK tax on my UK income as I am LPR in the US.

Interesting. As an Australian Citizen, even as a non-resident of the country, I am still required to pas Australian tax on Australian investment income. (Then, I need to also declare this income on my US tax return, but, receive tax credits for the tax paied to the Australian government).

[AusCal 3]

I know that the US is one of the very few countries in the world who require their citizens to pay tax if they are non resident. For instance, I don't pay UK tax on my UK income as I am LPR in the US.

Interesting. As an Australian Citizen, even as a non-resident of the country, I am still required to pay Australian tax on Australian investment income. (Then, I need to also declare this income on my US tax return, but, receive tax credits for the tax paid to the Australian government).

[elishav 0]

Why do things need to devolve into questioning the personal choices of the OP? If they ask for your personal opinion, then by all means. But unless the question they are posing is illegal or obviously unethical or immoral, why yack about it?

Edited December 8, 2009 by elishav

[thongd4me 69]

Why do things need to devolve into questioning the personal choices of the OP? If they ask for your personal opinion, then by all means. But unless the question they are posing is illegal or obviously unethical or immoral, why yack about it?

Sec. 212. [8 U.S.C. 1182] (a) Classes of Aliens Ineligible for Visas or Admission.-Except as otherwise provided in this Act, aliens who are inadmissible under the following paragraphs are ineligible to receive visas and ineligible to be admitted to the United States:

(E) Former citizens who renounced citizenship to avoid taxation.-Any alien who is a former citizen of the United States who officially renounces United States citizenship and who is determined by the Attorney General to have renounced United States citizenship for the purpose of avoiding taxation by the United States is excludable.

There is nothing illegal or unethical about his choice should he decide to make it.

Because of the clear consequences of that choice, many are likely to get emotinal

because they take pride in their citizenship and don't look at it as just a vehicle for

tax management. That's a very hard sell both for native citizens and those who had

to tunnel under the Berlin Wall to get to the west & ultimately the US.

[Brother Hesekiel 2,236]

Why do things need to devolve into questioning the personal choices of the OP? If they ask for your personal opinion, then by all means. But unless the question they are posing is illegal or obviously unethical or immoral, why yack about it?

Fair question, so let me try to answer by offering a comparison.

If an 18 year-old girl wants to abort her child and it's not illegal where she lives, then it's her personal choice. So why even trying to talk about it? Let her get that embryo out and discard it. Why yack about it, as you put is so eloquently?

Well, here's why the legislator requires yacking: because it is a severe decision that can have consequences the person in question may not even consider at the time of the deliberation. That's the time where yacking can help to make sure, she knows all the facts and circumstances involved and makes an informed decision.

It's not about: don't do it, but about are you sure you understand what can happen to you if you do it.

Edited December 8, 2009 by Just Bob

[Captain Oates 911]

To give you a bit of info.

If you move to EU and are a US citizen you will pay taxes on your income from the EU but, and this is important. You will start paying taxes only above a certain income and I believe this limit is high. I remember looking at it when I become an US citizen and it was around $80K 10 years ago.

Find out and this could be a none issue.

ESoll

This is so for EARNED income

All my income is UNEARNED (for tax puposes) and the $80K + exemption is not allowed

All my income would be taxed by the US and the UK if I moved to the UK - the double tax relief is not 100% allowed by the US and the time and expense of US tax filing is a great inconvenience - especially As I go into my 60's and 70's and 80's etc

I see countries as just places where 'just people' live and I don't have this holy reverence for the US that many Americans have because of their upbringing - so renouncing citizenship has no mystical or religious 'hand on heart' effects for me.

I wouldn't renounce British citizenship for practical purposes as the UK is like all other countries in the world who do not milk their citizens while they are living somewhere else and pursue them for life. Apart from getting a new passport every 10 years, British Citizenship has no down side.

Perhaps I won't need to renounce citizenship, but it's best to research this stuff in detail before taking citizenship on

Edited December 9, 2009 by saywhat

[Captain Oates 911]

I guess I don't understand anyone who would worry so much about money, to the point of going to another country for tax purposes alone, so long as there is enough to live comfortably on. Families are far more important than taxes. It is hard to comprehend why someone would see as an option, becoming a tax-dodger...but that's just me.

It's very easy to judge people on then internet based on just a few words - I would caution against it.

If my USC wife died or divorced me when I am in my 70's, I would prefer to return to England to be with my old friends and my daughter and my grandchildren.

I would then have pay US tax and do US tax returns for my remaining years as the US is the only country which pursues it's non resident citizens for life.

I think it's reasonably in these circumstances, to consider how easy it is to renounce US Citizenship if certain events come to pass - and it's best to do that BEFORE applying for citizenship

I think I will apply for citizenship as it has practical advantages. Don't ask me to get all misty eyed about it as I wasn't brought up as an American - the whole world knows that America is the most extreme Nationalistic/Patriotic country in the world and the English are not comfortable with that after fighting German extreme Nationalism. If it works against me in my later years, it's only a day out in London to do the renunciation. I could go on a Thames cruise while I was there.

[nigel 7]

It's very easy to judge people on then internet based on just a few words - I would caution against it.

If my USC wife died or divorced me when I am in my 70's, I would prefer to return to England to be with my old friends and my daughter and my grandchildren.

I would then have pay US tax and do US tax returns for my remaining years as the US is the only country which pursues it's non resident citizens for life.

I think it's reasonably in these circumstances, to consider how easy it is to renounce US Citizenship if certain events come to pass - and it's best to do that BEFORE applying for citizenship

I think I will apply for citizenship as it has practical advantages. Don't ask me to get all misty eyed about it as I wasn't brought up as an American - the whole world knows that America is the most extreme Nationalistic/Patriotic country in the world and the English are not comfortable with that after fighting German extreme Nationalism. If it works against me in my later years, it's only a day out in London to do the renunciation. I could go on a Thames cruise while I was there.

Even if you don't become a us citizen and moved back to the uk, then hence proberly giving up your P/R, you "could" still be subject to us taxes for 10yrs & still fill out Forms....so ya damed if you dammed if you Don't..Catch 22 i feel..

http://britishexpats.com/wiki/Green_Card_Abandonment

But i agree with one member here, every body has different situations, so not all fits all...Different folks different strokes.

On the other hand if you would choose to do the renunciation route, i would take take 2 days out and not 1, as you be in the Embassey for a good part of your 1st day&the second day you could enjoy your Thames cruise & maybe a spot of Lunch and a beer !

Good topic tho....