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Thread: TTFI bill to end double taxation of US expats

  1. #1
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    TTFI bill to end double taxation of US expats

    Source: https://www.youtube.com/watch?featur...hI&app=desktop

    This is the most recent video of the Taxation of Americans Overseas event with Solomon Yue and John Richardson. They are spearheading legislation called TTFI (Territorial Taxation for Individuals) to end citizenship based taxation. This would stop the double taxation and punitive compliance on US citizens living outside the US. If you are not aware, the US and the African dictatorship Eritrea are the only countries on the planet to use citizenship based taxation.

    **Write, email and phone call your local representative! Take action!**



    Their last event was in Toronto and they are country touring in the EU. The Toronto event took place in Aug, the video can be seen here: https://www.youtube.com/watch?v=MEOFv-vfigI

    9 million americans live outside the US and are affected by this. I advise you to write to your US house representative and state representative to support the TTFI bill and share your plight from the double taxation with citizenship based taxation. Rep. George Holding(R-NC) is the one sponsoring the TTFI bill.

    If you are effected I advise you to join the American Expatriates 2.0 group on Facebook - theres lots of discussions there. Keith Richmond runs the page and hes an advocate for Americans overseas who suffer under this regime.

    http://isaacbrocksociety.ca/ regularly posts updates on this subjects - Its Canadian based.


    ** Many people comment that I should be more "patriotic" and "pay my fair share" to a country I do not live in or use services from so *seal team six* and 9 aircraft carriers may one day parachute in to save me. Its easy for people who are not affected or know little about this to point and say these things. Its an extremely complicated topic that affects 9 million "second class" citizens so I can understand the ignorance from some but Id like to share some of the issues I personally suffer**

    **It is double-taxation.** No matter where you live you are subject to the most draconian, complicated and punitive tax code on Earth. If I was born in France to a US parent, spent my whole life in France, dont even speak English, raise a family there with have no involvement to the US I am still considered a US person and am subject to the IRS tax code with yearly fillings (including my children).

    The yearly cost of compliance to file with the IRS for US expats is minimum $1500 USD, but its generally around $2500 USD or more. This is just the cost of compliance with an accountant, even if you owe $0.00 taxes.

    As a US citizen you are not allowed to own foreign mutual funds, certain stocks, or saving vehicles/index funds such as ETF's as these are considered PFIC's. The fees imposed by PFIC's are so draconian and punitive it would result in literal asset forfeiture. The compliance costs are just as bad with IRS estimating paperwork be minimum 60 hours to complete. Homelanders are lucky that they do not have to deal with this. Because of this I cannot plan for retirement or take advantage of my works pension which is a mutual fund. Does that sound fair?

    I cant take advantage of my countries equivalent ROTH IRA (TFSA) or educational saving plan (REIT) because the IRS considers these "foreign trusts" and taxes them limiting my ability to save. The compliance costs for foreign trusts are also very expensive (form 3520A/3520B). Insurance policies are also considered foreign trusts.

    I own a mortgage and pay capital gains taxes to the IRS because of currency fluctuations between USD and CAD. If the CAD raises by 10% in value to the USD between my 5-year term I owe the IRS 10% capital gains as a "phantom tax" even though I had no capital gains.

    If I forget to report any FBAR's for any of my bank accounts floor penalties start at $10,000 USD or 50% of the assets (which ever greater). FATCA reporting is much more encompassing though for more assets.

    If I want to run a business it will be considered a Controlled Foreign Corporation (CFC) which is absolutely life destroying with extremely complicated reporting and punitive fees, the compliance costs unmanagle. I could not open a Canadian business in Canada because of this.

    If you follow the recent news of the trump transition tax on foreign corporations this is destroying peoples lives where cash holdings between the 1980's and 2018 are having asset forfeitures starting at 10%+. Canadian professionals such as doctors, dentists, physiologists, etc use Canadian corporations to retain their earnings and use it for their retirement - this is no joke when I say this, this is literally bankrupting and destroying peoples lives and robbing them of their entire life savings for a bill target at giants like Apple. These are normal people, not "fat cat tax cheats" getting hurt. See more here: https://www.cbc.ca/news/politics/tru...dian-1.4779747

    Many Americans are also losing jobs or the ability to work at oversea companies because of the compliance costs alone. The same goes for opening businesses. This makes Americans less competitive.

    For those who say "just renounce", its not that easy. You must be tax compliant, which can be hard for someone who worked a full career and never filled *because he never knew he had to*. You must not be renouncing for tax purposes, the renunciation cost is $2500 USD and you can be barred entering the US (REED AMENDMENT). And why should people have to go through this? People are not doing this out of joy, they are doing this so they can get a mortgage, so they can open a bank account or get a job - these are normal people whose lives get encroached because of a 150+ year old law to punish civil war deserters.

    These are only some of the very complicated issues of citizenship based taxation that does not affect homelanders.

    Its easy for people who are not affected by this to point and say I need to be more "patriotic" and "pay my share" without understanding the issue. And to dismiss this all and simply drum up a story that "seal team six" will parachute in and save me one day is insulting.

    IRSMEDIC on youtube also discusses a lot of these topics as well if you are interested. https://www.youtube.com/user/irsmedic

    The TTFI timeline and white paper can seen here: https://republicansoverseas.com/ttfi-timeline/

  2. #2
    Senior Member
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    Interesting first post. Wanting those in the US to help someone who doesn't even consider themselves a US citizen?
    When you were born in France, did you not have two parents? What is the citizenship of the other? Were you in France long enough to be declared a citizen there (get a French passport, etc)?
    Have you not looked into either renouncing or relinquishing your citizenship?

  3. #3
    Senior Member
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    Of course in the future if France has another Vichy type regime and you are a minority then the US citizenship that could get you out of the country would look pretty damn good. And with the rise of The National Front this is not an inconceivable scenario.

  4. #4
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    Sounds like it would be cheaper to renounce in the long run.

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