4 ms·

I don't think this is comparable to the US. First, the US has worldwide taxation for its citizens. No matter where you go, they can track your bank accounts (

I don't think this is comparable to the US. First, the US has worldwide taxation for its citizens. No matter where you go, they can track your bank accounts (through FATCA) and tax you. It really sucks if you're just a middle-class expat somewhere, but the system was really designed to make sure rich Americans were paying their taxes. However, it's causing a growing number of not-rich Americans living overseas to renounce their citizenship. Regardless, it can still be used here. The billionaires would have to not only move out, but also renounce, and doing this currently carries a large "exit tax" if you have huge assets. Secondly, where exactly are super-rich Americans going to go? Super-rich Norwegians have lots of options a very short trip away, since they live right next to the EU. It's not that hard for them to pack up and move to Sweden or Denmark where the taxes are still quite high, but without the explicit wealth tax. With super-rich Americans, it's not quite so simple: other desirable countries will have significantly higher overall taxation, even if there's no explicit wealth tax, so it would really depend on exactly how high this new tax is. Sure, they could move to Russia, but I don't think that's a place that American billionaires want to move to.

danw1979 2y ago
Canada ?
- shiroiushi 2y ago
  I'm pretty sure Canada has higher taxes than the US for people in this tax bracket. And again, they'd have to move all their assets and renounce their citizenship, after somehow acquiring Canadian citizenship.
- TMWNN 2y ago
  The last time I did the calculation, a Canadian is about 27 times more likely to move to the US than an American is to move to Canada. About one sixth of *all* Canadian scientists and engineers move to the US. (Not one sixth of Canadian scientists/engineers who leave their country moving to the US. One sixth of all.) The number of wealthy Americans that move to Canada is, to the first approximation, zero.
paganel 2y ago
I agree with your main points but as in where they might go, the Gulf States are a decent option, yeah, their kids won't be playing lacrosse anymore but you lose some and then you win some. I would have said Monaco and Switzerland, too, but I think that those two options are on their last legs and that those "loopholes" will be closed sooner rather than later (on the both EU and US pressure).
- shiroiushi 2y ago
  >the Gulf States are a decent option, yeah, their kids won't be playing lacrosse anymore That's just it: what's the point of being so rich if you have to live in a place where you can't enjoy your lifestyle? Plus, what do these super-rich people do with their time? If they're retired, then sure, they can just establish residence in UAE and then spend their time traveling I guess. If they actually do stuff (like running companies, etc.) which makes them richer, that might not be so easy outside the US.
resonious 2y ago
Would be honestly very interested to see what people end up doing. You're right that there's no good/easy place to run. But there's probably a good option or two. Once someone finds it, people will start flocking out and renouncing citizenship. Very curious what that place would be. (Or they'd just sit around and let the US drain their reserves I guess)

danw1979 2y ago

Canada ?

shiroiushi 2y ago
I'm pretty sure Canada has higher taxes than the US for people in this tax bracket. And again, they'd have to move all their assets and renounce their citizenship, after somehow acquiring Canadian citizenship.
TMWNN 2y ago
The last time I did the calculation, a Canadian is about 27 times more likely to move to the US than an American is to move to Canada. About one sixth of *all* Canadian scientists and engineers move to the US. (Not one sixth of Canadian scientists/engineers who leave their country moving to the US. One sixth of all.) The number of wealthy Americans that move to Canada is, to the first approximation, zero.

paganel 2y ago

I agree with your main points but as in where they might go, the Gulf States are a decent option, yeah, their kids won't be playing lacrosse anymore but you lose some and then you win some. I would have said Monaco and Switzerland, too, but I think that those two options are on their last legs and that those "loopholes" will be closed sooner rather than later (on the both EU and US pressure).

shiroiushi 2y ago
>the Gulf States are a decent option, yeah, their kids won't be playing lacrosse anymore That's just it: what's the point of being so rich if you have to live in a place where you can't enjoy your lifestyle? Plus, what do these super-rich people do with their time? If they're retired, then sure, they can just establish residence in UAE and then spend their time traveling I guess. If they actually do stuff (like running companies, etc.) which makes them richer, that might not be so easy outside the US.

resonious 2y ago

Would be honestly very interested to see what people end up doing. You're right that there's no good/easy place to run. But there's probably a good option or two. Once someone finds it, people will start flocking out and renouncing citizenship. Very curious what that place would be. (Or they'd just sit around and let the US drain their reserves I guess)