Posted on 05/17/2012 5:33:53 AM PDT by Sub-Driver
Senators to Unveil the ‘Ex-Patriot Act’ to Respond to Facebook’s Saverin’s Tax ‘Scheme’
Sen. Chuck Schumer, D-N.Y., has a status update for Facebook co-founder Eduardo Saverin: Stop attempting to dodge your taxes by renouncing your U.S. citizenship or never come to back to the U.S. again.
In September 2011, Saverin relinquished his U.S. citizenship before the company announced its planned initial public offering of stock, which will debut this week. The move was likely a financial one, as he owns an estimated 4 percent of Facebook and stands to make $4 billion when the company goes public. Saverin would reap the benefit of tax savings by becoming a permanent resident of Singapore, which levies no capital gains taxes.
At a news conference this morning, Sens. Schumer and Bob Casey, D-Pa., will unveil the “Ex-PATRIOT” – “Expatriation Prevention by Abolishing Tax-Related Incentives for Offshore Tenancy” – Act to respond directly to Saverin’s move, which they dub a “scheme” that would “help him duck up to $67 million in taxes.”
The senators will call Saverin’s move an “outrage” and will outline their plan to re-impose taxes on expatriates like Saverin even after they flee the United States and take up residence in a foreign country. Their proposal would also impose a mandatory 30 percent tax on the capital gains of anybody who renounces their U.S. citizenship.
The plan would bar individuals like Saverin from ever reentering the United States again.
(Excerpt) Read more at abcnews.go.com ...
How about reducing the tax rate instead?
Leave it to Schmucker to come up with a bill of attainder.
When I first saw this I swore it must be from the Semi-Satire/Semi-News site. I can’t believe how stupid some of these Congressmen can be. Instead of fixing the core problem of world competitiveness let’s pass a bill that guarantees venture capital moves offshore. If only we could separate Red States from Blue States financially. Make it like two colleges that have a coordinated history, like my school.
Separate tax policies, separate governments, Supreme Courts, etc. Let trade happen freely across borders, etc.
Then 25 years later grade the experiment. Winner take all.
this bill won’t effect him but will make us prisoners...
This is an example of the mindset of the “liberals” in Congress. You belong to them, and if you simply decide to emigrate, this is treated as a crime. It is as if you lived in a communist state, and could be shot if trying to leave.
The same people don’t mind illegal aliens entering the country (and leaving their own country!). That entitles the illegals to special privileges, such as subsidized tuition at state universities. But if a US resident decides to leave, breaking no laws, it is treated as an outrage.
The proposed law even prevents the expat from visiting the USA. That is inhuman and completely unreasonable, and shows the level of hatred in the hearts of some of these supposedly compassionate leftists.
New York State even tries to pursue their own citizens when they move to Florida, because they are escaping the NY state income tax. People have reasons for moving: maybe old people know that a warm climate is better for them. Maybe they are just following their friends. At any rate, it should be the individual’s decision — at least in a free society.
They make the rules, then when someone plays by the rules they want to change them because the rules didn’t work they way they planned.
Typical MARXIST/LIBERAL/COMMUNIST.
I say we hang all of them and start over.
In abusive relationships, the abuser tries to prevent the abused from leaving.
Schumer and his fellow travelers can’t allow the Evil Rich to leave. Other payers may get the idea that they can escape the parasites in government and its welfare base.
I mean, it's not like the guy has ever acted like an American. More like a STASI captain.
Ayn Rand predicted this in 1957
Chuck and Barney will eventually propose the following:
Because JPMorgan-Chase has demonstrated;
- banks can’t manage risk
- and to protect the government from being victimized by tax avoidance schemes before they can be outlawed
- The Federal Government will confiscate all of your savings and investments
- and all paychecks will be placed on deposit with the Federal Government.
You will be issued a government ATM and make withdrawals, up to the Federally approved limits......
This is an example of the mindset of the “liberals” in Congress. You belong to them, and if you simply decide to emigrate, this is treated as a crime. It is as if you lived in a communist state, and could be shot if trying to leave.
I’ve been expecting such nonsense for some time now. But let’s expand this concept further. Imagine that you want to move yourself/business from one state to another. Imagine having to pay an “exit tax” on the value of your property/assets before you are allowed to claim residency in a different state.
Now imagine armed tax collectors at every road/border crossing leading into the state next door and them doing the same ad nauseum. In my opinion that would no longer make us citizens perhaps subject or even serfs?
The interesting thing that is mentioned in very few articles on this subject, is that the US already heavily taxes those who renounce their citizenshipand has been for decades as I recall; he is not avoiding ALL taxes on his capital gains, just paying a bit less than if were still a citizen.
My my my .... Aren’t Chuckie Schumer et al becoming the angry hissy little fascists?
One of our rare liberties as Americans has always been the freedom to leave America if we chose to do so
More the reason for this guy to beocme Singaporean as fast as possible
Hopefully some shred of our law still protects people from ex-post facto changes in the tax laws targeted at punishing specific individuals
‘Unamerican’ is the only word that adequately describes this bill and those senator’s attitude...
This nation has ‘changed’ beyond recognition to any reasonable and rational citizen. The Constitution is the contract that binds us together. It is now considered a charter of negative liberties. The ‘United States of America’ is practically gone. I have no allegience to what this nation has become.
For those of us without imagination, there's last week's news:
SALINAS, Calif. -- Capital One has agreed to pay property taxes to the city of Salinas through 2019, after the company's lease expires at that time.
Officials with Capital One told Rep. Sam Farr this news at their Washington D.C. meeting, Tuesday, arranged to discuss what is being done for the employees and residents in Salinas.
Capital One announced one week ago that they were shutting down their Salinas operations by 2013, resulting in the layoffs of 850 employees.
Rep. Sam Farr's office says Farr is also planning on meeting with HSBC officials to determine what that bank can do for the city.
In addition to the property taxes, Capital One has agreed to pay 1.6 million dollars to the city, $600,000 of which would go to non-profits in the city.
The remaining amount would be going towards the city's economic development.
Sounds to me like a financial ‘Berlin Wall’.
SALINAS, Calif. — Capital One has agreed to pay property taxes to the city of Salinas through 2019, after the company’s lease expires at that time.
A good post but I believe that this section explains why they are paying taxes. They have a lease that expires in 2019 that means they still legally have a presence in the city of Salinas.
Why not tax people in other countries with the same last name as people in the US
They keep coming up with plans that rely on changing human nature, and then with it fails they blame us because we didn't change.
Schumer has no problem banning this guy from the US, but worships the terrorists who are invited “guests” here.
We clearly need a border fence (finally) with checkpoints, and anyone who tries to escape America would be shot.
Let's just be honest, Chuck. No one is to leave the U.S.S.A.
The more the tax-grabbers grab and grub, the more the wealth-producers will think about where they want to flee. The unintended consequences of laws like this (and FACTA) are always far worse than their benefits.
I say great, don’t let the door hit Saverin on the way out, but we don’t need another law.
And most certainly not another law by “always 100% wrong side” Chuck Schumer.
That said. America first.
They should call it the Runaway Slave Act. They consider us government property.
This is schumer class warefare.
This law is going nowhere. Only lybia had an expatriot tax claw law.
If anything this SCREAMS taxes too high.
(btw anyone see the movie “the avengers”? there is one tiny newsclip where a jerk NY “D” politician is being anti-good guy and that politician looked suspiciously like schumer...)
Every American should see the movie “Matrix.” Then they will see how our government see them.
I predicted this in my book on Going Galt and Surviving Civil War II. This would be a new Berlin Wall to prevent capital flight.
http://www.futurnamics.com/civilwar.php
Saverin should have learned from Bill Gates. When you’re worth billions, you need to grease the wheels of politics.
Saverin should have learned from Bill Gates. When you’re worth billions, you need to grease the wheels of politics.
I'm posting because my screen name demanded to be added to this thread.
Screw that. If I were ever blessed with great wealth, I would run my own ads supporting conservatism (billboards, radio spots, tv spots, internet, fliers, paid ground pounders). I would back conservative candidates, but not through any campaign donations.
I was thinking this morning about the statement that babies now owe over $30,000 in national debt before they are even born. Doesn't that mean that people who are aborting babies are depriving the Federal Fat Men their money? Aren't they then steeling from the Feds?
Instead of encouraging the capital flow into the U.S., the government is trying to erect more financial "Berlin Walls" (there is already an "exit tax" on renunciation).
There is now also a new Foreign Account Tax Compliance Act (FATCA) (rhymes with FatCat) which is so onerous, it stopped many foreign banks accepting bank accounts from Americans, even those who legally, often temporary, live overseas working for the American or foreign companies, and who have no intention of changing citizenship.
More people are leaving with their capital, more than 1700 just last year, a record. They are not willing to stay in the country where the government is increasingly socialist and Nazi-like in their laws, rhetoric and tactics.
Who is John Galt?
It was the part I put in boldface that looked like the “exit tax” you were talking about. A million plus to the city for no business purpose whatsoever.
Aren’t property taxes paid by the landlord and not the tenant ? It says Capital One was leasing the property, making them tenants only.
Depending on the lease contract, they could be liable for the full amount of the lease. That would obviously be much more than the amount of the property tax, so maybe they are actually getting off easy. Still, it should be between them and their landlord and not involve the city at all, unless the city actually is their landlord ?
Good point. That one article is all I know about the matter.
The illegal immigrants wire BILLIONS of dollars back to Mexico every year. Since they are not citizens, they are not illegally banking money in a foreign country.
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