> You do pay taxes in (for example) Hong Kong. It's just not as a high as the US rate. Then you'd pay a proportionately lower rate for your US burden. The over

> You do pay taxes in (for example) Hong Kong. It's just not as a high as the US rate. Then you'd pay a proportionately lower rate for your US burden. The overall amount of tax owed should be relatively constant. > I think a more thorough analysis of income sources is also in order I suspect the issue here is the manpower required to do it and/or the potential for extra loopholes. Could I start a company in Singapore that just happens to derive all its income from US sources and has me as its sole employee? Taxing by amount makes a certain degree of sense in that regardless of shenanigans, if you get money at the end, we tax that money. (Though of course, we don't actually do this in the US with things like capital gains.)