Moving to Aruba/Cancun/Australia tax/residency questions

[TStoneMBD]

some great info here billman, thanks

[Billman]

No problems. Hope it helps. After a scuba trip to Thailand I had similar thoughts. In fact I still may do it some day but I regularly read the expat message boards and feel a lot more educated about the decision I would be making than I did when I said "This place rocks! I can live like a king on $2000 a month here." [img]/images/graemlins/grin.gif[/img]

[NajdorfDefense]

Quote:
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you still have a ten year US tax obligation if the IRS determines that a contributing factor to your decision of denouncing your citizenship was to avoid taxes. You still lose.


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They would enforce this how?

This is justifiable how?

That just seems plain wrong. (Not wrong in that your information is incorrect, WakeUpCall, but morally wrong that the US gov't could lawfully bind you to pay taxes for 10 years when you're not a citizen and don't even reside in the US. I'd love to hear any kind of justification for this.)

You are renouncing your citizenship specifically for the purpose of ducking taxes, as is plain from this entire thread. Before they let you do so, the IRS will estimate what you will owe for the next 10 years, and tax you that amount.

John Dorrance, one of the richest men in the world, who hired the best lawyers, did the same thing in taking up Irish residency. He still had to pay.
You are evading taxes, pure and simple. That's why they do it. Otherwise, rich people could just 'renounce' their citizenship every time they were gonna have a really big year and avoid $50mm [insert large figure] in taxes. When you make $1bn-$2bn or more in income due to stock winnings or sales, the IRS wants their fair share. Should we have let the Google founders duck out on paying taxes simply by moving to the Bahamas?

Naj