Liberty and justice for all United States persons abroad

CNN: Path to citizenship should be a long hike

CNN: Path to citizenship should be a long hike

This article is about immigration and the path to citizenship. There are a lot of comments. I think we should SWAT the comments with information about issues new US citizens can face with their accounts and investments back in their country of origin (FATCA, FBAR).

20 thoughts on “CNN: Path to citizenship should be a long hike

  1. Here’s my comment:

    Being native-born, with over 200 years of American ancestry, I never thought about citizenship until local banks were denying me banking services simply because I was an American and due to US policy. Then, I had no other choice than to begin thinking about citizenship and this lead to me renouncing US citizenship in order to continue having a normal life abroad. I moved abroad years ago because I could not find work in the US and thus I couldn’t understand why the US government was having issues with my US citizenship and local bank account with its negative balance due to mortgage debt. As such, I highly recommend that the US government explores the concept of citizenship and attempts to understand what such really means, because one does not have to be a US citizen to respect and honor the ideals of the Founding Fathers.

  2. Thanks for drawing my attention to this story. I see they have more than 1200 comments now, and usually when there are that many, I don’t comment, as they just get lost in the discussion. I decided to put one up anyway, and it is in moderation. It may not see the light of day. I included a couple links which is always risky. I will paste it here for reference…

    Good opening sentence: “Being native-born means never having to think about citizenship.”

    I had never thought about what it meant to be a citizen until, I moved overseas and realized, that for Americans living abroad, you have to give it some serious consideration.

    For Citizens by the accident of the birth lottery, not through a conscious choice process (the long hike) you are tax chattel for the US government for life no matter where you live.

    America practices a very unique system of Citizenship that links that membership to life long taxation and reporting requirements via the FWhat? forms – FBAR / FATCA. There are serious penalties for failure no matter where you later live in the world.

    Up until now, you may not have considered what it means, but if you go abroad in search of opportunity later in life, you will soon realize you are the only citizen group in the world with such obligations.

    Every other country of consequence practices a residency based taxation system, like the individual states in the union, where you pay taxes based upon where you live and where you receive government services.

    But, that is NOT the American Way!

    The U.S. system of Citizenship taxation is complexity on steroids and comes with Draconian penalties for non compliance. It is not something they teach in immigrant Citizenship classes, nor is it posted as a “obligation warning’ for new visa applicants.

    If you live abroad later, be if for family reasons or going forth to create export jobs for America, it does make you think differently of U.S. Citizenship obligations. You have to consider whether or not it is a benefit or a burden. You are forced into a Cost vs benefit analysis, which for many now relinquishing their U.S. citizenship, the scale has very much tilted onto the negative realm.

    Why?

    Well, unfortunately, under this administration there has been an offshore tax evasion obsession, (jihad) with stated with homeland offshore cheats, but now assumes that all who live abroad or have normal financial accounts must be tax cheating citizens too.

    In 2010 Congress issued a FATCA Fatwa that has created 544 pages of onerous regulations requiring all financial institutions in the world to search out and report on all U.S. Citizens and U.S. Persons (a broader definition) to report them back to the International Revenue Service (IRS).

    From 2009, here is the press release on what the Joint Committee on Taxation (JAT) had planned if they could find the right legislative vehicle: http://bit.ly/V6Aee7

    That turned out to be the 2010 Hire Act. No, it did not get reported or discussed in the media or on CNN.

    FATCA has turned out to be the worst law most Americans know nothing about.

    The well intentioned goal, to stop homeland offshore tax evasion, has evolved into a global ‘search out and report’ process to also force Americans living abroad back into compliance if they had not been meeting the membership dues and reporting requirements.

    The impacts on the emigrant community abroad is significant and very negative. The compliance costs are much higher than homeland Americans, and those who have not been aware of their unique club obligations have only expensive ‘catch 22’ options on the road back to compliance even though they have been paying taxes to their country of residence for years and have little or no tax obligation to America.

    Additionally, they have become toxic assets. Many are being shut out of normal banking activity, find that they have less business partnership opportunities, and create less export jobs for Homeland Americans. Some are just packing up and coming home. http://bit.ly/TTGPbB

    Other middle class U.S.Citizens are forced to reconsider their relationship to their citizenship if they are to maintain long term residencies abroad. FATCA has created much anger, fear and mistrust of the U.S. Government.

    So, ‘Caveat Emptor’ to those of you now desiring to join the U.S. Citizenship club.

    Take your time on that long hike to fully consider the consequences of your decision. Depending on your circumstances, it may still be a great citizenship to obtain, but with it comes some serious obligations for life you should NOT overlook. If you ever decide to invest outside of America, or return to your original homeland later in life, the impacts and cost of this Club membership will not be insignificant.

    There are expensive fees to enter and expensive fees to exit the club.

    Be sure to read this by the IRS on the obligations of U.S. Citizens, Dual citizens and Green Card holders: http://1.usa.gov/YMOOF1

    Welcome to America.

  3. @ Just Me
    You are right — too many comments — BUT if your comment goes up let us know so Brockers can swoop in with our “up arrows” to get it to the top (sort by best). If no comments come in after yours it could stay visible for awhile (sort by newest). Although, I see at least at this moment the comments are coming in pretty fast. Way too much space wasting petty bickering going on there too. Your comment is comprehensive and excellent as always so fingers crossed it gets some visibility.

  4. @Em

    I don’t expect that it will come out of moderation because of the links. For some sites(you learn by trial and error) that links are dangerous as they don’t want to verify them before posting. I will give it a while, and if not, I might re-post without links with just suggestions as to google searches.

    His article certainly is a winner in terms of comment success. If your comments are in excess of 1,200 within ~36 hours of posting, then you have done something right or hit a popular chord.

    I am sure there are “hi fives” all around, Not as good as a Pulitzer Prize for Commentary Winners http://en.wikipedia.org/wiki/Category:Pulitzer_Prize_for_Commentary_winners

    but it is a “Peoples Award” personal trophy of sorts.

    In the meantime, I tweeted the link to the comment here on IBS to the author of the OpEd. @RubenNavarrette

    https://twitter.com/FATCA_Fallout/status/300323380027092992

    Not that he will read it or respond. Just like to throw some non conventional thoughts into the mainstream mix even though they will probably be drowned out. They seem old hat to us, but surely many have not considered things from this perspective before.

  5. @ Just Me
    I think you deserve a Masters in commenting. I don’t do comments well at all but I’m pretty good at “up arrowing”. If Brockers could target the most exceptional comments in strategic places we could boost them up to “best” or “most popular” and give them the attention they deserve. I guess this would be similar to the Israeli’s megaphone project and maybe its not a good idea to stoop to their level but it’s still a thought. Perhaps one alert a day for a Brock Swat Team could be posted and then we could bring a whole quiver of “up arrows” in as support or maybe a volley of short supportive reply comments to highlight the main comment. I don’t know, you have the commenting expertise. Would it work or would we get busted?

  6. @Em, more Americans and former Americans would have to be more active for this to work. As for the Israel comparison, the Brock Swat Team works mostly for the benefit of everyone, while Israel seeks to fool people into supporting religion-based territorial expansions at the expense of the hated Semites living there. As such, the Brock Swat Team is unlikely to be as controversial and disliked as the Israeli government.

  7. I found this rather interesting video by a British woman who was denied entry to the US despite having a long-term Visa and expressing desire to spend a few months with her brother following their mother’s death. She brought old family photos (which would make sense if your mother died), and her cat (makes sense if going away for a long Holiday, don’t a lot of Americans bring their dogs and cats on family holidays?).

    Here is her video on her Youtube channel explaining her side of the story: http://www.youtube.com/watch?v=Gnd9rQgoGuc

    And here is the edited footage of her interrogation by CBP: http://www.youtube.com/watch?v=iap04VxoDsw

    The only relevance this may have with IBS is our ongoing critisism of stupid and arbitrary government officials, as well as the notion that US government policies tend to hurt cross-border families.

    Once again we see that shockingly the burden of proof is always placed on the individual, not the government. Constitution goes in the gutter at the border.

    On the other hand, another CBP team at O’Hare let in a Swedish girl, an unemployed butcher on benefits who came to visit an Internet boyfriend who turned out to be a married military service member: http://www.youtube.com/watch?v=duW4O9KNBBU

  8. I really hope these people understand the full consequences of what they’re doing when they go for US citizenship. It’s depressing to think of all those people who believe the US propaganda and happily throw themselves into the lobster pot.

  9. I tried taking out the links in my comment, and cleaning up some typos and reposting, but still did not appear. So finally, I just cut it down to the meat, Buyer Beware message, and it took.

  10. @Swisspinoy.
    ‘sa la vie’ I try not to look at it as a waste of time, but part of my 10,000 hours or learning necessary to become an ‘expert” LOL. Helps to constantly work at reshaping a narrative for later use.

  11. Just Me’s CNN comment is at the top of the “sort by newest” list, for the moment. It got my “up arrow” and I did load more comments to seek out other Brockers but there’s a lot of comments to wade through and sadly most of the discussion is about immigration without the realization that immigrants to the USA are walking into a huge IRS trap.

  12. BTW, I saw a comment by a person out of Australia, (Tan) and couldn’t help but reply to what she said…

    http://edition.cnn.com/2013/02/08/opinion/navarette-path-to-citizenship/index.html?hpt=hp_t4#comment-794251799

    I trust you know, that getting that Australian Citizenship, you have not reduced your exposure to U.S. Citizenship taxation, form reporting requirements and penalties for failure. Your normal banking accounts are now subject to FBAR and FATCA reporting, and if you participate in the Australian Super, you also have some very onerous 3520 form requirements as well as taxes for unrealized phantom gains!

    Do you know that? I hope so.

    My wife is Australia, and lives with me in the U.S. and New Zealand. Australia does not put ANY of those requirements on her like you have on you.

    So, your U.S. Citizenship is very unique in the world, and the obligations remain no matter where you live.

    I trust you are compliant with all U.S.continuing requirements, and not like a lot of Americans abroad, hiding your head in the sand about the impacts of the current IRS offshore jihad.

    best wishes

    I

  13. The US cheapened its citizenship when it started giving it to people like the America’s Cup winning crew, just so they could sail America’s next entry in the race. No requirements, just take our citizenship and then you can use our nice new shiny yacht and we’ll have a much better chance of winning because you’ve won it before. My parents had to study American history, live in the States for 10 years and take a test before they were granted citizenship. We were actually featured in the local paper who wanted to do an article at the time about foreigners who were becoming US citizens; I still have the cutting somewhere. How proud all our family and friends were then – and how sad my parents would be now if they knew how their adopted country was harrassing its citizens.

  14. My dad came to Canada with nothing, chopped wood and dug for Gold in the Yukon territory for many years until he had saved the $5000 needed to immigrate to the US. Thus, he wasn’t happy that I had to give up the blue passport, but he is glad that don’t have to leave Switzerland.

  15. I get the sense that among immigrants into the US, citizenship is devolving into a sort of beefed-up work permit. At one time a green card might really have been permanent residency. Now it needs renewing every ten years and you can lose it in an increasing number of ways — stay outside the US for too long, for example. And some jobs are open only to citizens, and exclude green card holders.

    A person might take out US citizenship because they truly want to commit to the US for the rest of their lives, and want to express that level of attachment. But they also might do it just for administrative convenience — not having to deal with the USCIS ever again would be a big one. Or flexibility — they need to live outside the US for more than a year or two, perhaps dealing with sick relatives. Or to take a security job. Or to marry a non-citizen and sidestep US immigration issues for their new spouse. Or to lock in social security and/or medicare. Or to mitigate US estate tax issues. And on and on.

    US citizenship itself is cheapened because having it resolves all of these artificial administrative barriers, and more. Not a lifelong deeply held commitment, more just a way to keep the government out of your life. And for those that view it as the latter, a disposable commodity.

  16. @ Watcher
    Stupid me because when I married and moved to the USA (early 80s) I thought the green card was essentially a work permit. I thought it gave me the privilege of getting a job there (which I didn’t do) and the “privilege” of paying taxes there (which I did) and nothing else (certainly could not vote or anything). The card said in big print on the front RESIDENT ALIEN and I didn’t notice the smaller print on the back which said “Person identified by this card is entitled to reside permanently and work in the US”. I certainly had no idea of the consequences to follow because my immigration interview was all about proving to the man my American husband and I were well and truly married. Then a perfunctory handshake and welcome to America and that was it, not even a brochure. I guess I can’t blame the man for not knowing that I knew nothing and since it was pre-computer days there wasn’t much chance of me getting more information. Especially since we built our house in an area with no phone service.

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