But, on this note one must ask the question:
Question is NOT what are US tax compliant #Americansabroad prohibited from investing in – the question is what are they ALLOWED 2 invest in?
— U.S. Citizen Abroad (@USCitizenAbroad) October 15, 2015
Americans abroad are “everyday people”. They can be found on every street corner in every town and in every country. Because they are “every day” people, they have “every day” needs. They must have pensions, savings, homes and they must plan for retirement. On the other hand, the United States requires that they live exactly like “Homeland Americans”. This leads to all kinds of problems and severe difficulty in investment and retirement planning.
Most blogs, focus on identifying financial products that are “unsafe” for Americans abroad. The truth is that almost all forms of retirement planning and investing outside the United States are “foreign” and involve “tax deferral”. Both of these things are punished by U.S. law. In fact that vast majority of non-U.S. financial products are either PFICs or Foreign Trusts.
My question is: Can you identify the kinds of investments in your country of residence that are permitted to Americans abroad. By “permitted”, I mean: do NOT encounter either punitive taxation or expensive reporting.
It seems to me that the U.S. Government does NOT benefit Americans wherever they may live. In fact the U.S. Government is an impediment to Americans living outside the Homeland.
But seriously, what are the financial products in your country that are “permitted” to Americans?