On February 28, 2011, I stood up with dozens of other people and made an oath of fealty to the Queen of Canada. At that moment I ceased being a US citizen because I made my oath with the intention of relinquishing US citizenship. As of yesterday, it has been five years. Rejoice with me. It is a cause of celebration.
It was in February, 2010, that I made the decision to seek Canadian citizenship. I had been eligible to apply for it for years, but it was upon learning about the exit tax on those who renounce US citizenship that I felt compelled. If the USA was going to tax me for exiting with more than 2 million in assets, I’d better quit now before I get that wealthy. I needed the protection of the Canadian government that citizenship could provide–and I did not want to become stateless because of renouncing US citizenship. While I am happy to have become a Canadian citizen, the Canadian government has disappointed through refusal to protect so many citizens whose clinging attachment to the USA remains an impediment to their true happiness. Hence, the fight continues, even if for me it is mostly solved. So my joy in February 28 as special day is really and truly in my having on that date cast away the attachment to the USA. I consider my CLN a Certificate of Manumission. But as can be seen by the timeline, I have to wait until 2018 before I will be free from FBAR.
Timeline
- September, 1986-Moved to Canada to study theology at graduate level
- May, 1989-Married a Canadian
- August, 1991-Moved to Cambridge to do PhD
- December, 1994-Returned to Canada (spouse works while I finish PhD)
- September, 1996-Become a landed immigrant in Canada
- February 25, 2010-Sent application for Canadian Citizenship
- February 28, 2011-Swore an oath to Queen Elisabeth II and relinquished US citizenship
- April 7, 2011-Visited the US Consulate in Toronto to inform them of my relinquishment
- December 10, 2011-Launched the Isaac Brock Society website with five other concerned Canadians
- April 16, 2012-CLN arrived in the mail
- June 15, 2012-Filed 8854 (invoking 5th Amendment) and 2011 taxes (using TaxAct) to complete filing obligations
- July 29, 2013-An urgent return to Alaska from exile to search for Wally Dunn
- June 15, 2015-Statute of limitation on 1040 (normal audit not counting fraud)
- June 30, 2018-Satute of limitation on FBAR filing requirements
Plus ça change, plus c’est la même merde
Many have testified that their visit to the US Consulate to obtain a CLN was a very difficult time. For me it was not so difficult to give up US citizenship, since I do not see my primary or even my secondary identity as being a US national. For me, the United States of America is like a crazy uncle (the Prodigal Uncle Sam); or citizenship is like that embarrassing tattoo that you never let anyone see. Thus, for me, relinquishing US citizenship was the best decision I could have made. While I am angry that the US government has deprived me of my fundamental right to return to the native country and the home of my childhood, I have realized that there is still a big world out there and lots of amazing places to visit and to live. The USA has become fly-over country on my way to a nicer sun location in the Caribbean.
I have seen others who are long term residents of Canada who have decided not to do anything about their clinging US nationality. They refuse to hand themselves over to the mercy of the IRS or submit their case to a compliance carpetbagger. This has been for them a really good choice. I have seen no severe consequences visited upon anyone who did not hand themselves over to the compliance industry and to the IRS. This has remained the same for the last six years. Yet the complicity of the Harper government with the USA’s hunt for expats and the Younger Trudeau’s refusal to greet President Obama with his family’s famous one-finger salute, the ability to navigate FATCA/CBT has become a bit more precarious. C’est la même merde.
What has changed is that I have become increasingly pessimistic about human nature. I remain a victim of iatrogenesis (ill-health caused by medical science) in that Cipro has done serious damage to my tendons–so that I see American capitalism as essentially cronyism because of agency capture. I no longer believe that the USA’s main export is freedom. It is instead corruption of a very sophisticated sort. FATCA is front and centre. US compliance firms are raking in billions from banks around the world, so that US-made banking regulations have become the major export industry of the USA. It gives new meaning to the term “Made in the USA”. But no it is no longer high quality products that are now mostly made in the Far East. It is now bullshit banking rules which make corrupt compliance companies filthy rich. I now find the essence of American Exceptionalism in FATCA. It is quintessential. It is overt. It is the sign of a takeover by well-organized criminals.
The future
What the world needs now is a country which will displace the USA as the leader. But on the horizon there is no such beacon on a hill.
Does anyone really think that this FATCA/USA problem is going to improve? The USA shows no signs of sanity. In the perpetual US presidential campaign, the Republican front runner is a narcissist. The Democrat front runners are a socialist and a kleptocrat. Our best hope rests in the lawsuits. There is no political solution. The medium is the message. USA politics will always lead to the oppression of the expat no matter which of the various sociopaths becomes president. US politics has become a comedy show.
The right thing to do
I can testify that relinquishing USA citizenship has greatly helped my peace of mind. My feeling of well-being may be precarious–because the USA remains dangerous and powerful. But one can only make choices based on the information that is available. Five years later, and I can say it was the right thing to do–especially since I was able escape relatively unscathed.
Congratulations on your freedom anniversary!!!
I am jealous- wish I was on that side of this ridiculous situation.
I don´t know when my citizenship will come through, so meanwhile……. I wait…..
I´m glad to know you have no regrets- gives me hope that peace of mind will return.
So because the US doesn’t allow statelessness, it’s forcing people who wouldn’t necessarily become a citizen of the country where they live to become a citizen of that country. Doesn’t seem fair to the host country, but in Canada’s case there isn’t much it won’t do to compensate for the US’s “exceptional” policies.
Perros,
What ever happened with you pleading the 5th on your final report?
Is there a way to contact you?
I can’t help but agree with Petros that the US/FATCA problem is not likely going to improve. With Hilary and the Donald as frontrunners for the next presidency, it’s only likely to get worse. Indeed, Trump would be like having a very spoiled toddler in office running the most powerful and corrupt nation on earth.
Congratulations on your freedom anniversary, Petros. I’ve renounced and made the great list of US expatriates which Bubblebustin has renamed “Liberty List”.
@Rwk: What happened to my 8854 in which I pleaded the 5th Amendment? Who knows? I assume the IRS received it, but they never acknowledged it.
Congratulations on your special anniversary, Petros! And thanks for all you’ve done in these five years helping so many others!
@Pacifica, I am grateful to you and the other people who have carried this website while I have been more or less absentee.
Keep on keeping on, Petros. That final SOL will be here in no time because I’m not the only one who has noticed that time is speeding up. I thought it was an old age phenomenon but according to this it’s the fault of computers:
http://www.sciencealert.com/research-suggests-that-technology-is-speeding-up-our-perception-of-time
And I think that you (and I and many others) wouldn’t be at our computers so much if it weren’t for FATCA. So there you go. The very problem that tormented you into getting a CLN, is driving you faster towards that final SOL and complete resolution of that problem.
And there … both wishful thinking and fuzzy logic are my therapy today.
Congratulations, Petros, and thank you for your leadership on this. I agree with your latest comments. It’s sad to see and know many people who are being extorted for large amounts of money as they extricate themselves from U.S. citizenship and extra-territorial taxation in order to continue living outside the U.S. It’s infuriating to see our own Canadian Government continue to cooperate with that extortion.
And also from me, Petros — sincere congratulations. I will always be indebted to my path crossing yours what now seems so long ago.
From all of us, because where would we be without it, thank you for providing this forum, IssacBrockSociety.ca, the place we are understood and where we can find support from others facing the same as ourselves and our families.
Cheers, Petros!
Peter,
I did not realize it was basically a full two-year process for you (Feb 2010-April 2012). Wow, 5 years already! I know you have no regrets, nor do I, even though I did not want to renounce and was so worried I would be sorry I did. Looking back, the OMG moment roughly mid-Oct 2011 and CLN Aug 2012. It seemed like an absolute eternity!
You were such a rock for me, I shall never forget it. (I think I forgot to stomp on your foot the last time we met……..)
@Tricia, Two years between the decision to relinquish and the reception of my CLN. But the process is basically lasting until June 2018 (i.e. more than 8 years), when the FBAR statute of limitations expires. But then, the residual butt tattoo actually taints a person for life. If the whimsical US government wants you, it can find some way to get you.
@Petros,
The exit tax pulls and pushes. For immigrants in the US if they don’t work it out themselves (like I did), as soon as they see an estate planner they are going to tell them to become citizens. My first meeting with an estate planner told me that it was a smart move that I had done it already.
The USG has got to understand one day you need to be able to decide yourself to stay or go not be forced. I wonder how average Americans would take me explaining that we were forced to do this. I expect many will think it as wrong as expatriating.
“the residual butt tattoo actually taints a person for life”
I don’t think so. Consider what the US does to US persons who inherit anything from the estate of an expat, who have to prove the expat wasn’t covered or worse might find that the expat was covered. The butt tattoo doesn’t end with life.
Thanks Peter
I think all minnows should pay close attention to what Petros has done.
He deliberately filled in his 8854 incompletely. On lines 1,3 and 16 (cash, stocks,real estate) he wrote ‘fifth amendment’ This is noteworthy to say the least. Probably something the IRS doesn’t see often and a bit of a red flag.
He also didn’t file FBARs (they are under a different statute).
And yet, so far, he hasn’t heard a word All minnows who are afraid some obscure omission or mistake will come back and bite them and impose horrendous penalties should take heart.
“On lines 1,3 and 16 (cash, stocks,real estate) he wrote ‘fifth amendment’ This is noteworthy to say the least. Probably something the IRS doesn’t see often and a bit of a red flag.”
I think they see it often, and USUALLY they know the difference between legitimate fifth amendment claims (protection from specific questions) and frivolous ones (refusing to file a return). But not always. Here’s a recent discussion:
http://www.procedurallytaxing.com/legitimate-claim-of-5th-amendment-on-tax-return-should-not-result-in-frivolous-return-penalty/
Happy Fifth Anniversary, Petros! I like to think that also refers to the Fifth Amendment, not just the passing of five years of time!
I can’t believe it was that long ago that we first met on the old Expat Forum, and first chatted together on Cafreeb’s online radio show. Some serious water under the bridge since then.
As you know, I am one of those who has intentionally decided NOT to apply for a CLN to avoid triggering IRS scrutiny of other family members. So far so good – America’s bureaucratic dysfunction is so complete that we may just avoid all this crap before that terminally-ill empire collapses under its own weight.
Thanks again for laying the foundation for this amazing site and for your continued support and inspiration to US persons worldwide!
Nice to hear from you Petros. You were/are surely my inspiration. I think you are right about never being able to totally erase the tattoo but the solution is simple; just don’t drop your pants. (At least not in the vicinity of the IRS!)
Petros is the rock upon which Brock was built and I join everyone offering their congrats for his 5 year milestone. Wonder how many are able to mark their own milestones thanks to this forum. What a blessing it has been.
Thank you so much Peter for all you’ve done and congratulations
Congrats on your five year anniversary Petros– you chose a great place to hang your hat.
“While I am angry that the US government has deprived me of my fundamental right to return to the native country and the home of my childhood…”
Me too Peter. There’s very little I miss about the United States. I’m pissed though that a basic human right (right of return) was taken from me under duress.
“I have seen others who are long term residents of Canada who have decided not to do anything about their clinging US nationality. They refuse to hand themselves over to the mercy of the IRS or submit their case to a compliance carpetbagger. This has been for them a really good choice.”
Bingo. I made my one trip down to Vancouver to try and relinquish but was denied. In retrospect, I regret wasting my time and money travelling to Vancouver to petition the f@$%ers for an exit stamp in my US passport. The weather that day was a gorgeous Spring day and I did manage to go for a long run along the sea wall so it wasn’t a total waste. I’m done with trips to Mordor, though– I’m Canadian and I’m gone. No fees and no tributes are getting paid to the Evil Empire.
“Does anyone really think that this FATCA/USA problem is going to improve?”
Hell will freeze over before Congress ends CBT. Relief will have to come from the courts. By the time relief comes, if it comes at all, there will be too many victims to count– expats forced to exercise the nuclear citizenship option.
While I am angry that the US government has deprived me of my fundamental right to return to the native country and the home of my childhood…”
Me too, @ Peter.
”… I’m pissed though that a basic human right (right of return) was taken from me under duress…”
@BC_DOC, I will always feel bitter about this too.
Thanks for your continued help and support. I am afraid that the presidential candidates are not aware of the misery the USG is creating. Your story including all comments should be forwarded to their respective organisations. Maybe this will wake them up. There are many voters out there and if you look at the numbers they could make a significant difference.
@Eric, it is very charitable on your part to assume that the candidates are not aware.
I perhaps thought that too, a few years back when I used to speak to the media. See http://isaacbrocksociety.ca/petros/
At this stage it is impossible for me to think that they do not know exactly what they are doing.
Congratulations and gratitude from me too, Petros! I don’t know what I would have done were it not for this blog that you created.