Author Topic: FATCA  (Read 495 times)

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Online JBS

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Re: FATCA
« Reply #20 on: March 20, 2020, 01:26:28 PM »
Honestly, where in here have you answered either of my two simple questions? Your point about me having the benefit of the "full power of the US" should I ever have needed it-- I guess you're saying that I should file and pay at times taxes to have that benefit. Yet all other countries (except Eritrea) give that benefit to non-resident citizens WITHOUT requiring a tax return. But, you probably won't comment on that.
I have paid my taxes in full, on time every year to the Canadian Govt., where I live. Your statement "Your complaint is that you had to pay taxes, so what" is not true. My complaint is I had to FILE and PAY taxes to a country I hadn't lived in for decades. There IS a difference.
"Exactly how many people like to pay taxes" you ask. I ask, what does that have to do at all with my two questions?
I ask two simple questions and get a variety of semi-off topic responses and address them. I'm just a whiney Canadian.

drogulus, I sort of agree and kinda understand most of what you say. Except the first sentence asking how US citizens would know if they owe no or some tax if they don't file a return?
Again, this doesn't address the question of why the US and Eritrea are the ONLY COUNTRIES that tax people based on citizenship rather than residency. The only two that require non residents to do a costly FILING of tax returns every year. Regarding a point I made earlier, if this old law and FATCA are in fact a right and just thing, why have so many thousands renounced because of this situation and continue to do so?  The numbers are unprecedented in U.S. history. A couple of years ago certain consulates in Canada had up to 6 months to a year wait for people wishing to renounce. No one on the thread has addressed that point either.
So, as I said, on 2 of those 6 returns I did, the IRS determined that I had not paid enough taxes to the Canadian Govt.  So, why not send me a note saying I should contact the CRA and offer them the said difference? Why would I pay this money they figured I should have paid to the U.S. GOVERNMENT?

My point is that every country has the right to do it.  I see no reason why every country shouldn't do it. As for you, you enjoyed the benefits of being a US citizen but didn't want the responsibilities. You ended up taking the appropriate step, but you should have done that decades ago, without FATCA motivating you.(Obviously,  you have no connection to the US, psychological or physical.)

As far as I am concerned, you are simply whining.

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Offline TMHeimer

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Re: FATCA
« Reply #21 on: March 20, 2020, 04:46:52 PM »
My point is that every country has the right to do it.  I see no reason why every country shouldn't do it. As for you, you enjoyed the benefits of being a US citizen but didn't want the responsibilities. You ended up taking the appropriate step, but you should have done that decades ago, without FATCA motivating you.(Obviously,  you have no connection to the US, psychological or physical.)

As far as I am concerned, you are simply whining.
Yeah OK, I know I've got a lot of time on my hands and the forums I belong to aren't too busy lately, so call it whining if you must. I do agree that every country has the right to enact a FATCA and require it's citizens permanently abroad (or any citizens) to file taxes, but every country can really do anything it wants if the consequences to said country don't make it prohibitive. Doesn't make it right really. It's like you see on TV lawyer shows-- "It's the law, it's not necessarily the right thing to do", etc.
I will always have a psychological (and a physical, due to my 2 brothers there) connection to the U.S. -- It's my native land. Not being a citizen doesn't change that one bit.
You are correct in that I should've renounced citizenship decades ago and only did it for serious financial reasons (it would'nt have cost me $20,000 if I did it right after I did my last U.S. tax return in about 1983)--would've cost me nothing. The reason I stopped filing then was that they changed the form drastically. My mom used to take care of this for me and I just signed it. Before 1983 it was basically filling out one page telling where you lived, Soc. Sec. #, etc.  My mom was at one time a legal secretary in Manhattan. She told me in '83 that I should stop filing because the new form wants to know your salary, what someone in a similar job makes in the U.S. and that it MAY mean you owe Uncle Sam money. Of course back then the old Civil War law was always in effect, but there were no passport requirements to enter the US from Canada (before 1990 not even a PHOTO I.D.--drivers licenses had none) and of course no FATCA to poke into expats' business. So, of course it made little sense to consider renouncing citizenship of my native land. Apparently many dual citizens came to the same conclusion after FATCA came about, as they were also hit squarely in the pocketbook.
As soon ago as 2008 things were the same as always--before passports and FATCA. Nobody cared. In 2013 someone in Florida said I may be in trouble at some point being a dual citizen crossing the border if I haven't filed US tax returns for a while. My wife and I both laughed. We had never had any trouble with the border in maybe a hundred crossings. Hundreds of times for me including my single years.
Question for anyone-- If you lived another 20 years and it would cost you $40K to remain a US citizen would you consider renouncing? I suppose some may not.

Interesting side notes (I know, I'm also guilty of discussing stuff other than my two main OP questions).

---Canadians who spend a certain amount of time as snowdirds (we've often done that too) may be subject to US taxes, while at the same time adding to the Sunbelt economies with their vast amount of tourist dollars.  They can be deemed "U.S.Persons for tax purposes". Now, none of such folks work down there (well, I assume most don't or the odd one may illegally), so they's have no income to pay US taxes on.

---US citizens who are dual citizens need US passports to enter the country. Their "other" country passport won't do. Not sure what that accomplishes other than a way to check on you, perhaps your tax status?
Can't be another border security measure because of 9-11--Who would be more suspicious, myself, a then US citizen with a Canadian passport, or my wife, a non American with a Canadian passport?  Yet her's would be valid and mine not.
Not relevant, but I watched them build the Twin Towers growing up in NY.
« Last Edit: March 20, 2020, 07:07:31 PM by TMHeimer »
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