is an article that appeared in the Wall Street Journal on October 19, 2012. The article was reported at the Isaac Brock Society. The article is fairly good. But, what is really interesting are comments. The comments reveal that “Homelanders” and US citizens abroad life in “different worlds”. If you have the time, I suggest reading all the comments. But, since you don’t I have tweeted some of the more interesting ones.
To me, the comments confirm that one can understand the problems of life as a US citizen abroad if you have actually lived the life of one. I find the comments very discouraging. It seems to me that there are now two kinds of US citizens abroad:
1. Those who are not tax compliant and will keep their heads buried in the sand. This group is just hiding.
2. Those who are tax compliant and cannot live with the expense and time that continued US tax compliance requires. This group is renouncing their citizenship.
Either way, unless you live in the Homeland, US citizenship is a difficult cross to bear.
Here are tweets (which necessarily include my commentary) to some of the more interesting comments from the article:
How can US homelanders be so ignorant about #amereicansabroad ? Read this: online.wsj.com/article/SB1000… comment the replies—
U.S. Citizen Abroad (@USCitizenAbroad) October 20, 2012
Interesting perspective on #FATCA Could FATCA and the way it affects #americansabroad violate international law? online.wsj.com/article/SB1000…—
U.S. Citizen Abroad (@USCitizenAbroad) October 20, 2012
Why #FATCA is good for the career prospects of Canadians and bad for Americans online.wsj.com/article/SB1000… – Another example of the IRS discount—
U.S. Citizen Abroad (@USCitizenAbroad) October 20, 2012
When being American in name means giving up what it means to be an American in spirit, patriotism may mean renouncing online.wsj.com/article/SB1000…—
U.S. Citizen Abroad (@USCitizenAbroad) October 20, 2012
And the "Homelander of the year award" for understanding #FATCA and the life of #americansabroad goes to online.wsj.com/article/SB1000…—
U.S. Citizen Abroad (@USCitizenAbroad) October 20, 2012
Another win for the US gov in its war against the middle class. Americans no longer allowed life overseas. online.wsj.com/article/SB1000… #FATCA—
U.S. Citizen Abroad (@USCitizenAbroad) October 20, 2012
The cost of US citizenship is under re-evaluation by many who have not thought about citizenship in this way before. online.wsj.com/article/SB1000…—
U.S. Citizen Abroad (@USCitizenAbroad) October 20, 2012
Why the US gov is different from the governments of some of worst dictators in history: online.wsj.com/article/SB1000… #americansabroad take note—
U.S. Citizen Abroad (@USCitizenAbroad) October 20, 2012
It will take 50 years to recover the world trade we have foregone by citizenship taxation – #FATCA #FBAR online.wsj.com/article/SB1000…—
U.S. Citizen Abroad (@USCitizenAbroad) October 20, 2012
How the US gov handed the export market to foreign competition on a silver platter. online.wsj.com/article/SB1000…—
U.S. Citizen Abroad (@USCitizenAbroad) October 20, 2012
Interesting comment on the effects of citizenship-based taxation in the administrations of Kennedy and Ford online.wsj.com/article/SB1000…—
U.S. Citizen Abroad (@USCitizenAbroad) October 20, 2012
US Embassy in Berne, Switzerland has re-deployed staff to handle the tsunami of US citizenship renunciations online.wsj.com/article/SB1000…—
U.S. Citizen Abroad (@USCitizenAbroad) October 20, 2012
And finally, those of you seeking an EU passport:
Are you a US citizen seeking EU citizenship? Portugal may be the answer news.liveandinvestoverseas.com/Investment/por…—
U.S. Citizen Abroad (@USCitizenAbroad) October 20, 2012
In closing …
This is based on comments to October 20, 2012. If you find more that should be included, leave a comment. Also, here is why I think Obama loses on November 6.
Prediction: @BarackObama loses November 6 election making @MittRomney next president – Here's why renounceuscitizenship.wordpress.com/2012/10/21/pre…—
U.S. Citizen Abroad (@USCitizenAbroad) October 21, 2012
Do those desirous of expatriating realize they are barred forever from setting foot in the USA under the Reed Amendment and under the proposed Ex-patriot Act?
Thanks for your reminder of terms of the Reed Amendment. I suspect that some are aware of it and some are not. My understanding of the Reed amendment is that it could be applied only in the event that there were a determination that one renounced to avoid US taxes. Absent a showing of that motivation, the Reed amendment can’t be applied. Although the Reed amendment has never been applied (to my knowledge) I suspect that the US (out of vindictiveness) will begin to apply it. (Those who are renouncing should keep your statements to a minimum.)
As a matter of simple fact, few people are renouncing because of US taxes. They are renouncing because US citizenship makes it impossible (try it) to live outside of the US under tolerable conditions.
The Ex-Patriot Act is of course not the law. What you need to understand is that the US has put many US citizens abroad in a position of having to choose between US citizenship and having a meaningful life.