Comment on What are some of the things someone permanently relocating away from the US should be aware of?
merc@sh.itjust.works 10 months agoThe US is one of only 2 (?) countries in the world that does citizenship-based taxation.
Comment on What are some of the things someone permanently relocating away from the US should be aware of?
merc@sh.itjust.works 10 months agoThe US is one of only 2 (?) countries in the world that does citizenship-based taxation.
iii@mander.xyz 10 months ago
Is there an exit tax when you leave the US? France for example has that, and the new Belgian government wants to introduce it as well.
tychosmoose@lemm.ee 10 months ago
Not when you change residency, but if you relinquish your citizenship: en.wikipedia.org/wiki/Expatriation_tax#United_Sta… or your residency has been revoked.
So if you remain a US citizen you owe normal annual tax (minus a credit for foreign taxes paid).
untorquer@lemmy.world 10 months ago
Seems like it only matters if your taxable income is over ~$130k? So with foreign income exclusion that would mean you’d have to make over ~$250k/year for the 5 previous years.
At that point you can just pay your problems away…
merc@sh.itjust.works 10 months ago
I think there is, but it doesn’t apply universally. I think it was one of those things designed to catch the ultra-rich who were renouncing their citizenship to get lower taxes elsewhere, but it ends up catching a lot of people who are middle class.
lath@lemmy.world 10 months ago
I believe someone complained recently that there is one.