I have been in the US on holidays for a month now. We purchased a little getaway place in Florida last spring in hopes that we could already be set up to go as snowbirds in 3 to 5 years. No real estate agent ever mentioned any new laws that state that foreigners might have to file tax returns on their worldly income if they stay longer than 120+ days in the US or that the IRS gets inheritance tax benefits in case any of us should parish. Many of our Canadian neighbors are upset about the prospect and I need to send them proof of this law that took effect at the first of 2011. There was once a link to an article about it on the expat site but I am not able to find it. Does anybody have information about this or a link that I could forward to my neighbors?
I have also been talking to my American neighbors about FATCA and how dual citizens such as myself are being penalized for living outside the US borders. Deer in headlights. I am guessing that many people might be suspicious that I have been evading taxes. We all know that the USA is the greatest, most honest,most God fearing government in the world and anybody would kill to be able to live here. People believe what they want to believe and they like the story about America still being the land of opportunity and grace.
I even talked to a contractor about possibly doing reno in our home. I brought up the foreign home owner issue to him and he actually knew all about it, but hasn’t told his customers, of course. I told him that I was holding back on everything I want done here for fear of the tax problem, so that is effecting his business and he might think about writing his congressman. One Canadian family told me today that they were also going to do renos until I mentioned the above.
Anyway, I am hoping that if we can get enough Canadians and foreign property owners involved on this side of the border and get the newspapers to publish our promises of clearing out and taking our dollars with us that maybe they will get the point. If they think their economy is bad now, just wait.
Please post any links that you think might be helpful for me to pass along. Thanks!