Monday, October 10, 2011

Double taxation of US expatriates

I've been called a "crank" for using words like "double taxation", something which amuses me to no end because I've actually read the laws in question and know what I'm talking about, unlike some individuals who think I'm a crank. One person, going by the name of "Raul" (who did not call me a crank), politely disagreed that Americans are subject to double taxation while abroad while someone who bravely hid behind a cloak of anonymity chose to write the following:
And Raul has already addressed the claims of double taxation to no avail. Raul needs to learn that when someone uses dogwhistle language like "double taxation", you are dealing with a crank.
Never mind that I have firsthand knowledge of people who owe a lot of money due to double taxation. Clearly I'm a crank for even using that term, as is Ronald Sokol, an attorney qualified to practice law in the United States and France who also discusses the issue the US's double taxation laws in this New York Times piece. Interestingly, while Mr. Sokol mentions that only one other country in the world does this, I think he would have made a stronger point if he mentioned that this other country is cash-strapped Eritrea.

So be aware of the law in this area and think carefully about what you want to do. The United States is chasing after countries to report tax dodgers and if you fall behind in your paperwork, you might be in trouble.