Author Archives: pacifica777

Karen is organising a group to take anti-FATCA/CBT action in Australia and has launched the website Let’s Fix the Australia US Tax Treaty!

The mission of Let’s Fix the Australia/US Tax Treaty! is to press for amendments to the Australia/US Tax Treaty and the FATCA IGA to eliminate discrimination against a subclass of Australian citizens that is also disadvantageous to all Australians. We plan to gather the voices of those impacted, including Australian-only family members, and highlight the obligation of the Australian Government to defend its sovereignty and protect Australians against US extraterritorial law.

The purpose of Let’s Fix the Australia/US Tax Treaty! is twofold:

First, to encourage affected Australians to write to their elected representatives to lobby for change on the Australian side of this equation. Australia has signed two agreements with the US that allow this to continue: the Double Tax Agreement (Tax Treaty) and the FATCA IGA. The Tax Treaty was last amended in 2001 and does not provide for US recognition of the tax-advantaged status of superannuation. There are other portions of the treaty that guarantee the double taxation of dual citizens resident in Australia. Our Australian government must put pressure on the US to come to the table an re-negotiate the Tax Treaty.

Second, to serve as an educational resource for both the affected dual citizens trying to understand how the Tax Treaty affects them AND to help educate our elected representatives on the problems caused by Australia’s capitulation to one-sided US demands.

The Australians have been very active and this is a great new development.

Regarding this new website, JC commented on another thread:

In Australia we are out to make some “noise.” On the Day Roy Berg presents to the Tax Institute of Australia seminar on superannuation, on US taxation and Australian Superannuation, a new website aimed at the injustices has been launched:

Best wishes for making lots of “noise” and effecting much needed change!

Let’s Fix the Australia US Tax Treaty!

There’s a lot of hurry-up-and-wait in litigation. The legal team does work (a lot!) during the less visible periods of a case, but there’s not much news at such times. We’re in one of those periods now.  So, thanks very much, Ginny, for this comment that you made last night (and thanks to Canoe for suggesting we make a separate post of it):

“Hello friends and supporters.   I am just popping in again, while you carry on with your discussions about whomever will end up POTUS at the end of the day or whatever topics get your blood pressure pumped, to remind you that:

The Three Amigo Plaintiffs and the diligent ADCS committee members are still working every day in the background on (y)our litigation. We have never lost our focus nor have our great lawyers.

For those of you who are still keeping the faith with us, thank you. Because during these months leading up to the upcoming US election, we are concentrating on what needs to be done at our end to get it done here in Canada!

We appreciate how patient you have been waiting for updates while we press on preparing on your behalf. Don’t ever think we have forgotten you because you are our motivation and raison d’être.

Now back to your regular channel.

As always, best to you all.”
Ginny

We’ll be getting together for lunch Saturday, 23 July, at 1:00 pm at Dunn’s Delicatessen, 220 Elgin Street (South of Laurier, North of Somerset. Street parking, free on Saturdays), Ottawa.

We’re currently expecting 7 people – hope you can come too!   Please rsvp by posting a comment here or e-mail me at pacifica at isaacbrocksociety dot ca

Dealing with Australian Superannuation has come up frequently at Brock, sometimes on the FATCA and Australia page and sometimes on various other threads.

JakDac suggested we have a post for this specific topic, so people can post helpful information (or ask questions) on Superannuation in one location, so people won’t have to search throughout the site.

We’re kicking it off with a text by JakDac, who asks that you remember these are suggestions, unless verified.

Continue reading →

Typical investments — the kind the average person makes in planning for a sound financial future — can be rendered pointless or even have disastrous financial consequences due to US taxation of US Persons on income they make in their home country as well as siphoning non-US income out of that country and into the US.

This paper provides concise information on how tax-deferred accounts, mutual funds, and capital gains on the sale of one’s home result in taxes owed to the US.   Useful to whip out if anybody tries to tell you that US extraterritorital taxation is no big deal.

Thanks to LM’s hubby, its author.

Assets That Will Likely Result in Net Taxes Paid to the US by US Citizens in Canada Who File Tax Returns in the US and Have Only Canadian Source Income

June 19th is the one year anniversary of royal assent for Bill C-31, and July 1st is the one year anniversary of the IGA coming into effect, this latter date ironically also being Canada Day.

Do you have plans for writing, demonstrating, etc, in light of the one-year anniversary?  If so, please share your ideas on this thread.

LM has sent the following, encouraging people to support the court challenge, to virtually everyone on her mailing list — not only people who may have a US connection, as it focuses on the impact this has for all Canadians — and also posted hard copy on bulletin boards.

“Re:   How much do you value our Canadian Charter of Rights and Freedoms

Good morning all,

It is now June, the 1-year anniversary of the passage of Bill C-31 which, hidden deep in the 362 page omnibus “Budget Bill”, instituted the Canadian FATCA IGA allowing US law to dominate Canadian Law. Passage and royal ascent of Bill C-31 resulted in the establishment of a 2nd class of citizenship in Canada based on nationality or parentage (specifically, US nationality or parentage).

Upon passage, our sacrosanct Charter of Rights and Freedoms, the basis of so many important precepts regarding the law of our land, was seriously distorted. We now live in a country which DOES DISCRIMINATE, which HAS SUCCUMBED TO THE THREATS OF A FOREIGN NATION and HAS PLACED HIGHER VALUE ON THE CONCERNS OF THE BANKING INDUSTRY OVER THE RIGHTS OF PEOPLE LIVING IN THIS REALM.

Continue reading →

If you have information about how FATCA will affect green card holders in your country, or a question about FATCA and your green card status, or an experience to share, please comment here.
The idea for this thread comes from News, who posted the following FAQ from Canada Revenue Agency’s website, regarding FATCA and Green Card Holders, as a comment on the “Terminating a Green Card” thread.

Canada Revenue Agency:  Information for individuals with accounts with Canadian financial institutions

“I hold a U.S. green card. How does this affect my tax residency?
If you are a green card holder (that is, a lawful permanent resident of the U.S.), the U.S. considers you to be a U.S. resident.
However, if you are a resident of Canada for tax purposes and do not hold U.S. citizenship, you should not identify yourself as a U.S. person to your Canadian financial institution.”

LM and her husband, while helping a green card holder deal with his situation, came across the following on the Montréal Consulate’s website, which contains this excerpt:

“If you wish to file for the Abandonment of Lawful Permanent Resident Status you may visit the U.S. Consulate General in Montreal without an appointment on any Wednesday between 2PM and 3PM.
Please bring the following documents:
• Proof of identity;
• Your green card and a copy;
• A reentry permit (even expired), if applicable, and a copy;
• A completed I-407 (601KB PDF) form and a copy.”

Re the other consulates in Canada, only Toronto mentions green card abandonment. Toronto’s instructions offer the options of appearing at the consulate or mailing it in.  I note that Toronto says, “We will return a copy of your completed I-407 to you as your receipt.”

I checked a few consulate websites worldwide – the first three that came up were:
London:  appear at embassy or mail to embassy
Athens:  appear at embassy
Canberra:  mail to embassy

So, it varies from place to place (what else is new?), but if you live relatively near a consulate or embassy, it may be worth checking with them to see if you can bring in your I-407 in person and get a receipt on the spot.

Also at LM‘s suggestion, I’ve created a link-list to all Brock posts regarding green cards, which is in the sidebar under “List of Links by Subject.”

We’ll be getting together for lunch Saturday, 4 October, at 2:00 pm at Boston Pizza, 1055 St. Laurent Boulevard, Ottawa (between Donald and Queen Mary, free on-site parking).

We’re currently expecting about 10 people –  hope you can come too!  Please rsvp by posting a comment here or e-mail me at pacifica@isaacbrocksociety.ca

Thanks very much, PatCanadian, for doing this interview!

Vancouver Sun:  Metro Vancouver Woman Joins Movement to Drop US Citizenship

The author, Douglas Todd made contact with Pat, due to Pat having contacted the Vancouver Sun regarding their coverage of FATCA/US tax policy on Canadians.

He also asked Pat if she could help him get in touch with other people affected by this – several other Brockers/Sandboxers have – and also at the end of the article asks people to get in touch with him. I’m wondering (hoping!) that’s because he plans to do more coverage of this important issue.

It’s a complex issue with several, if not many, facets.  If you’d like to share your story, or general information about the issue, and/or suggest another article focusing on a specific aspect/s of the problem, it may well be worth getting in touch with him.