5 ms·

To be expected really when the IRS seems to think that, even if you live outside the US for a full tax-year, you are taxable as a US citizen just because you ho

To be expected really when the IRS seems to think that, even if you live outside the US for a full tax-year, you are taxable as a US citizen just because you hold a passport/green card. It was a long time dream/plan of mine to try get sponsored and on to the green card system (because I think the US is a beautiful country - and I would love to live there for multiple years) until I discovered these taxation laws.

seanmcdirmid 13y ago
Congress makes the tax laws, the IRS just enforces them. Over the threshold, you only pay taxes if you live in a country where taxes are less than the US, which is, to be honest, not that many countries.
- a035bb942 13y ago
  > Over the threshold, you only pay taxes if you live in a country where taxes are less than the US, which is, to be honest, not that many countries. It's (sort of) that simple for earned income. In another country you may throughout your life receive money from a wide range of sources (health benefits, health recovery, child benefits, pensions, scholarships, the list goes on...) - the US tax status on these is incredibly complex at best. The punishments for making a mistake can be severe.
  - seanmcdirmid 13y ago
    My income is earned and heavily taxed. I even have to pay taxes for my medical insurance, which are otherwise exempt in the states. Ya, it can be nightmare, and I have no idea what I would do if I ever got audited; its not like we get official documentation about pay since taxes in earning country are deducted automatically. At best, we have some pay stubs.
- freyfogle 13y ago
  Yes, but you still have the time and pain of filing. This is not minor. To ensure you're not making a mistake you basically have to pay an expert to do it. Also the US has now imposed laws that require financial institutions to report to the IRS if you are a US citizen. I'm not in the financial industry so can't verify first hand, but all reports are that the paperwork and reporting burden is significant. So much so that many banks now have a "no US citizens" policy.
yardie 13y ago
If you're on a greencard these tax laws don't apply to you. You're only taxed for what you make while in the US.
- woe 13y ago
  This is absolutely untrue. The IRS treats citizens and green card holders ("resident aliens") exactly alike for tax purposes. Every single piece of relevant IRS documentation refers to "U.S. citizens and resident aliens abroad" - see, for example: http://www.irs.gov/Individuals/International-Taxpayers/U.S.-Citizens-and-Resident-Aliens-Abroad http://www.irs.gov/Individuals/International-Taxpayers/U.S.-...
- gsb 13y ago
  (User woe, you have been hellbanned which is a shame because your points in this thread have been quite true.)
- rdl 13y ago
  Totally incorrect.

seanmcdirmid 13y ago

Congress makes the tax laws, the IRS just enforces them. Over the threshold, you only pay taxes if you live in a country where taxes are less than the US, which is, to be honest, not that many countries.

a035bb942 13y ago
> Over the threshold, you only pay taxes if you live in a country where taxes are less than the US, which is, to be honest, not that many countries. It's (sort of) that simple for earned income. In another country you may throughout your life receive money from a wide range of sources (health benefits, health recovery, child benefits, pensions, scholarships, the list goes on...) - the US tax status on these is incredibly complex at best. The punishments for making a mistake can be severe.
- seanmcdirmid 13y ago
  My income is earned and heavily taxed. I even have to pay taxes for my medical insurance, which are otherwise exempt in the states. Ya, it can be nightmare, and I have no idea what I would do if I ever got audited; its not like we get official documentation about pay since taxes in earning country are deducted automatically. At best, we have some pay stubs.
freyfogle 13y ago
Yes, but you still have the time and pain of filing. This is not minor. To ensure you're not making a mistake you basically have to pay an expert to do it. Also the US has now imposed laws that require financial institutions to report to the IRS if you are a US citizen. I'm not in the financial industry so can't verify first hand, but all reports are that the paperwork and reporting burden is significant. So much so that many banks now have a "no US citizens" policy.

yardie 13y ago

If you're on a greencard these tax laws don't apply to you. You're only taxed for what you make while in the US.

woe 13y ago
This is absolutely untrue. The IRS treats citizens and green card holders ("resident aliens") exactly alike for tax purposes. Every single piece of relevant IRS documentation refers to "U.S. citizens and resident aliens abroad" - see, for example: http://www.irs.gov/Individuals/International-Taxpayers/U.S.-Citizens-and-Resident-Aliens-Abroad http://www.irs.gov/Individuals/International-Taxpayers/U.S.-...
gsb 13y ago
(User woe, you have been hellbanned which is a shame because your points in this thread have been quite true.)
rdl 13y ago
Totally incorrect.