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I wonder how increases in remote work acceptance will affect emigration. If you allow remote work from anywhere it would seem like moving to another country on

I wonder how increases in remote work acceptance will affect emigration. If you allow remote work from anywhere it would seem like moving to another country on some sort of visa would be an instant pay increase using the foreign earned income tax break.

davidw 11y ago
Except that you have to pay taxes in that foreign country. Many of them have higher taxes than the US, and in any case, having to file taxes twice is not fun.
- reuven 11y ago
  Many countries (including Israel, where I live) have tax treaties with the US. You still need to file US taxes every year, but any money you pay toward your country of residence counts toward your American taxes, up to a certain ceiling. The fact that US income tax is lower than those in most other countries means that such people will almost never paying any actual tax -- and, believe it or not, are even entitled to a tax refund from the US government. So yes, it's a pain that the US makes me file tax forms every year. Or more realistically, the US makes me pay an accountant to handle this for me. But the odds of my having to pay income tax to the US are pretty slim, until/unless I'm making a ton of money, in which case I'm sure that my accountant will think of new clever ways to avoid doing so.
  - davidw 11y ago
    > The fact that US income tax is lower than those in most other countries means that such people will almost never paying any actual tax Not to the US, at least, but to the other country, yes. So going abroad is not a way to save money on taxes.
  - deciplex 11y ago
    > The fact that US income tax is lower than those in most other countries means that such people will almost never paying any actual tax -- and, believe it or not, are even entitled to a tax refund from the US government. After you exhaust the foreign-earned income credit (which is roughly 90K), you're basically paying the higher of US and local tax. And it's not always lower e.g. Americans in Hong Kong will end up paying tax. I've never heard of anyone getting a refund from this.
    - airza 11y ago
      The netherlands at least has a "highly skilled migrant" system wherein you are refunded a chunk of your dutch taxes. This results in paying a similar amount to the US.
  - happyraul 11y ago
    > believe it or not, are even entitled to a tax refund from the US government. From the IRS website: > Your foreign tax credit cannot be more than your total U.S. tax liability multiplied by a fraction. The numerator of the fraction is your taxable income from sources outside the United States. The denominator is your total taxable income from U.S. and foreign sources. So no, one is not entitled to a tax refund, because the credit cannot be more than the total U.S. tax liability.
- sschueller 11y ago
  The US taxing citizens abroad, the irony: http://en.wikipedia.org/wiki/American_Revolution#1764.E2.80.931766:_Taxes_imposed_and_withdrawn http://en.wikipedia.org/wiki/American_Revolution#1764.E2.80....
  - davidw 11y ago
    You can vote from abroad, so that's not the problem, really.
    - sschueller 11y ago
      Other than president who can you vote for? Who represents a US citizen's interests when living abroad? Some never have been to the Unites States and have no home state. Yet they are required to file and pay taxes.
      - davidw 11y ago
        You can vote in the state you last resided in or even the place you feel is 'home' in the US. I still participate in Oregon elections, for example. http://travel.state.gov/content/passports/english/abroad/legal-matters/benefits/voting.html http://travel.state.gov/content/passports/english/abroad/leg... I don't know the details for people who have never lived in the US, but they are entitled to vote, being citizens. Being forced to pay taxes is an unwelcome burden with few benefits, but you can vote if you live abroad.
        technomancy 11y ago
        Parent's point is that your Oregonian congressman is not looking out for your interests but those of his resident-constituents. If emigrants comprise a population roughly equivalent to Maryland, why don't they get their own representation?
        davidw 11y ago
        His point was "taxation without representation", which is false. Your point is more nuanced and interesting, I think. I suspect it'd take changes to the constitution to enact, so is likely not feasible, unfortunately.
atmosx 11y ago
Nah, of course not. It's not even practical... The amount of jobs that could be done remotely (e.g. programming, design, etc.) are just a tiny fraction.

davidw 11y ago

Except that you have to pay taxes in that foreign country. Many of them have higher taxes than the US, and in any case, having to file taxes twice is not fun.

reuven 11y ago
Many countries (including Israel, where I live) have tax treaties with the US. You still need to file US taxes every year, but any money you pay toward your country of residence counts toward your American taxes, up to a certain ceiling. The fact that US income tax is lower than those in most other countries means that such people will almost never paying any actual tax -- and, believe it or not, are even entitled to a tax refund from the US government. So yes, it's a pain that the US makes me file tax forms every year. Or more realistically, the US makes me pay an accountant to handle this for me. But the odds of my having to pay income tax to the US are pretty slim, until/unless I'm making a ton of money, in which case I'm sure that my accountant will think of new clever ways to avoid doing so.
- davidw 11y ago
  > The fact that US income tax is lower than those in most other countries means that such people will almost never paying any actual tax Not to the US, at least, but to the other country, yes. So going abroad is not a way to save money on taxes.
- deciplex 11y ago
  > The fact that US income tax is lower than those in most other countries means that such people will almost never paying any actual tax -- and, believe it or not, are even entitled to a tax refund from the US government. After you exhaust the foreign-earned income credit (which is roughly 90K), you're basically paying the higher of US and local tax. And it's not always lower e.g. Americans in Hong Kong will end up paying tax. I've never heard of anyone getting a refund from this.
  - airza 11y ago
    The netherlands at least has a "highly skilled migrant" system wherein you are refunded a chunk of your dutch taxes. This results in paying a similar amount to the US.
- happyraul 11y ago
  > believe it or not, are even entitled to a tax refund from the US government. From the IRS website: > Your foreign tax credit cannot be more than your total U.S. tax liability multiplied by a fraction. The numerator of the fraction is your taxable income from sources outside the United States. The denominator is your total taxable income from U.S. and foreign sources. So no, one is not entitled to a tax refund, because the credit cannot be more than the total U.S. tax liability.
sschueller 11y ago
The US taxing citizens abroad, the irony: http://en.wikipedia.org/wiki/American_Revolution#1764.E2.80.931766:_Taxes_imposed_and_withdrawn http://en.wikipedia.org/wiki/American_Revolution#1764.E2.80....
- davidw 11y ago
  You can vote from abroad, so that's not the problem, really.
  - sschueller 11y ago
    Other than president who can you vote for? Who represents a US citizen's interests when living abroad? Some never have been to the Unites States and have no home state. Yet they are required to file and pay taxes.
    - davidw 11y ago
      You can vote in the state you last resided in or even the place you feel is 'home' in the US. I still participate in Oregon elections, for example. http://travel.state.gov/content/passports/english/abroad/legal-matters/benefits/voting.html http://travel.state.gov/content/passports/english/abroad/leg... I don't know the details for people who have never lived in the US, but they are entitled to vote, being citizens. Being forced to pay taxes is an unwelcome burden with few benefits, but you can vote if you live abroad.
      - technomancy 11y ago
        Parent's point is that your Oregonian congressman is not looking out for your interests but those of his resident-constituents. If emigrants comprise a population roughly equivalent to Maryland, why don't they get their own representation?
        davidw 11y ago
        His point was "taxation without representation", which is false. Your point is more nuanced and interesting, I think. I suspect it'd take changes to the constitution to enact, so is likely not feasible, unfortunately.

atmosx 11y ago

Nah, of course not. It's not even practical... The amount of jobs that could be done remotely (e.g. programming, design, etc.) are just a tiny fraction.