Category Archives: Issues regarding US persons abroad

Please RT Great presentation by @TalPolblog on the problem off US taxation of #FATCA and #Americansabroad https://t.co/sQm408IiAr

— Citizenship Lawyer (@ExpatriationLaw) July 7, 2016

This is a great video of our friend, supporter & advocate Professor Allison Christians, telling the story of “Tina” at the International Conference of Taxpayer Rights in Washington D.C., November 18-20 2015. After she has finished and sits down at the table, fellow panelist David Brunori asks
 

David Brunori: Thank you Allison. Allison, what happened to Tina?

Allison Christians: Well, I cut off the end because there’s not enough time but the end would have said, there’s no happy ending for Tina.

David Brunori: There’s no happy ending for Tina?

Allison Christians: There’s no way out.

David Brunori: She’s not gonna sneak across the border is she? and become a.. a…. nevermind, that’s a completely whole different story.

 
Hear it for yourself:
 

 
Fabien Lehagre posted the video at American Expatriates FB group and Mr. Brunori’s comment prompted some responses:

Laura Wilson The ending jocular frivolity after being presented with such an atrocity is beyond enraging. Was there a discussion amongst the panel after Allison’s presentation not included here?

Suzanne Iclef Herman Tina’s more likely to commit suicide than “sneak across the border”.

Elizabeth Bland The last speaker’s comment was completely uncalled for. He must be feeling mighty proud of himself.
Suzanne Iclef Herman The message? Tina should be more grateful because people are clamouring to be American citizens.

Laura Wilson Suzanne, are you aware of Allison’s thoughts on the reception her talk received especially by Nina Olson? It is beyond belief that they can hear Tina’s Story, the gross indefensible injustice of it all, and do NOTHING. Just a wee applause and done, move on, next talk. I believe that is called soulless.

Suzanne Iclef Herman Laura Wilson no, I haven’t discussed it with her. Allison spoke for my husband and me, so it’s personally hurtful to see what looks like a flippant attitude toward our’s and Tina’s plight.

Tom Paine These are tax professionals. Therefore they don’t have a soul. Also they are “dumb bunnies” because they can’t see that the U.S. treatment if Americans abroad is what is in store for the “dumb bunny” home landers.

John Hanson This will, if not corrected, turn millions into criminals in the eyes of the USA.

Suzanne Iclef Herman I was accepted into Streamlined, which means that the IRS acknowledges that my lack of previous compliance was not “willful” on my part. Where is their admission of negligence in informing millions like me?

John Hanson I sent this video to my MP. He won’t believe me, but maybe he’ll believe a tax lawyer.

 
Personally, my blood boiled when I heard it but I can’t quite put my finger on what it is I don’t like. If she’s already an American, how can he suggest she would somehow take advantage of the U.S. and “sneak across the border?” As if she would want to anyways; here again is that contemptuous assumption that ALL people want to come to the U.S. Her story makes it clear enough she does not think of herself as a U.S. citizen nor does she even once accept the idea. Did he even hear what Allison said? So before nominating David Brunori for the Brock Hall of Shame, I’d like to ask all of you, what do you think he means?
 

cross-posted from citizenshipsolutions dot ca

This post is a continuation to my recent post: “The Internal Revenue Code does not explicitly define “citizen”, “citizenship” or require “citizenship-based taxation“.
 
That post was reposted at the Isaac Brock Society, and received a comment which included:
 

Your statement that the IRC does not explicitly define citizenship is technically correct. It is also misleading. When the IRC was codified in 1939, the Secretary of Treasury was given an order to issue all needful regulations. That mandate is now found at 26 USC 7805.
The needful regulation of the Secretary, Treasury Regulation, 26 CFR
1.1-1(c) explicitly defines citizenship in terms of the 14th Amendment and it included the term subject. 26 CFR 1.1-1(a) explicitly states that the tax imposed by section 1 of the IRC imposes the tax on citizens and residents. It does not list any other type, class or category of person upon the tax may be imposed by force.

 
In the original post I had demonstrated why taxation based on “citizenship” was a reasonable inference from Sections 1 and 2 of the Internal Revenue Code. The basic reasoning from Sections 1 and 2 of the Internal Revenue (without consideration of outside sources) is reflected in the following syllogism:

1. All individuals with the exception of non-resident aliens are subject to U.S. taxation.

2. Citizens are individuals who are NOT “nonresident aliens”

Therefore, citizens are subject to taxation.

 
Nevertheless, the comment raises a very interesting question. To put it simply the question is:

Could U.S. Treasury/IRS by regulation exempt Americans abroad from U.S. taxation?

The purpose of this post is to explore this very interesting question.

Let’s work with the information in the comment.
Continue reading →

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

America’s colonists are taxed from a faraway capitol

The population of the U.S. citizens overseas rose 34% in only 4 yrs, according to U.S. Dept. of State, whilst no U.S. candidates are addressing their issues and not even speaking to them. 9 million U.S. citizens overseas are PISSED OFF.

In comparison, the average U.S. growth rate over 5 years has been only 4.1%. The fastest growing state in U.S.,  North Dakota, has risen only 12.5% in the last five years, to 602,000 residents.

There are more U.S. citizens overseas than 40 of the U.S. states. Yet, not a single U.S. presidential candidate nor candidate for any of the federal offices has addressed the issues of U.S. citizens overseas or even spoken to them.

Although figures are difficult to obtain, the highest increase in voter registrations is occurring overseas. You would think that candidates for federal offices would want to speak to their voters? How wrong you are–the candidates are back in the Homeland with their heads up their whazoo.

So, where the heck are the U.S. candidates? Presidential? Senate? House of Reps?  — Nowhere to be seen. We are being led by nobodies.

The U.S. trade balance is the absolute lowest listed on its own website. Per capita, it lies midway between Iraq and Yemen.

So what have the U.S. political candidates have to say about this? Absolutely nothing. Nada. Not a single remaining candidate has spoken to any of the 9 million U.S. citizens overseas.

Republican Donald Trump has not uttered a peep, despite the active involvement and lobbying of Republicans Overseas and the expat/emigrant-friendly RNC platform.

Democrats Abroad has involvement with its bureaucratic FATCA same-country exception platform and its support of Residence-Based Taxation (RBT), but (although it is part of the DNC) it has not penetrated the DNC platform. Bernie Sanders (after choking back his standard “offshore bank account rhetoric”) had told a D.A. audience that he supposedly supported Same Country Exception and RBT. Hillary did not attend the Democrats Abroad Global Town Hall, as she was busy at a fundraiser for herself in California. Her standin was Madeleine Albright, who attempted to placate the Democrats Abroad listeners with some semblance of herself as Hillary. Interesting that the Hillary-supporter online DA crowd was based in the recently-conquered, newly NATO-favorable Ukraine. Ukraine was a critical domino for the Hillary NATO conquest. Hillary plans to make FATCA more comfortable for its victims and to make Democrats more comfortable with dual taxation.

The up-and-coming Gary Johnson is rising, despite being shut out of the polling mechanisms and the debates which are contingent upon polling results. He is expected to be on all of the ballots of all the U.S. states. However, Gary Johnson is yet to realize that Americans could actually live outside of America.

The Green party is barely noticeable, but will soon also be on the ballots of all the states. However, the party and its presumed nominee Jill Stein have shown no interest to the U.S. expat population which numbers more than 40 of the U.S. states.

The issues for U.S. expats are quite well summarized in their 2nd class status as colonial subjects. These U.S. colonists have listed up the Intolerable Acts which have been imparted upon them by their rulers in Washington. None of the new Washington rulers have given a squat about it.

One would think also that the hundreds of U.S. Congress representatives and the current class of U.S. Senators might give a shirt. But they don’t. We haven’t seen a darmn shirt of them. Senators Paul and Lee have made noticeable efforts, but have not made much traction.

Well, America, figure it out. You’ve got a current balance deficit that has been below zero since 1976. You deserve it. You should have figured it out that it is the result of extra-territorial taxation. Your exporters and your salesmen are sitting outside of your borders. If America treats their best allies (U.S. citizens overseas) like dirt, America will go down the hole. U.S. expats have been holding your export water for years, but all you do is piss on us.

U.S. expats need to think like Al-Anon members. The U.S. will never get better until it completely crashes. So USA, either speak to us now or go crash. And don’t look for us until you’ve figured out what is wrong with yourself.

Independence Day has brought upon new meanings to U.S. expats and U.S. emigrants.

Update from the Stepford Wives

The Hillary’s position upon making your FATCA experience more pleasant

The Hillary’s 4th of July message to her global subjects (which appears to be triggered by this post):

https://vimeo.com/173234584

(Knowing that it was her that jammed the IGA’s down each country’s throat) Please do inform us if there is something that she offers that is of any use.

A couple of weeks ago, Chinese-language media in Canada reported that some second-generation Canadians with parents from Hong Kong have recently been unable to obtain visas for visiting mainland China, and were instructed by a visa processing centre to apply instead for temporary travel documents (pictured at right) as Chinese citizens instead. (Their right to visit Hong Kong is unaffected; Canadians can visit Hong Kong for up to 90 days, and the Hong Kong government does not require those with a potential claim to citizenship to resolve it before visiting.)

Nevertheless, these reports provoked a large number of inquiries to the Canadian government, and so the issue has leaked over into the English-language press just in time for the anniversaries of both the British North America Act 1867 and Hong Kong’s 1997 handover to China; various sources (CBC; South China Morning Post; Reuters; Time) are reporting the following fascinating statement by Felix Corriveau, a spokesman for Canadian Minister of Immigration, Refugees and Citizenship John McCallum:

Canada is aware of recent reports of challenges for Canadian-Chinese dual citizens in obtaining visas to visit China from Hong Kong. We are looking into the issue and are following up with the Chinese authorities.

Oddly, Messrs. Corriveau and McCallum do not seem to have sent any similar enquiries to Washington, D.C. regarding the far more aggressive policy of the United States towards Canadian individuals it claims to be U.S. citizens, which doesn’t simply include asserting sovereignty over alleged dual citizens when they visit the country and forbidding them from using foreign passports to enter, but rises to the level of threats to impose sanctions on Canada if Ottawa does not hand over their private information to Washington DC. An accidental oversight, I’m sure.

After the jump I translate portions of the relevant reports from the Canadian editions of Hong Kong newspapers Ming Pao and Sing Tao, and provide further discussion.

Continue reading →

Cross-posted from Maple Sandbox:

Happy #CanadaDay @JustinTrudeau https://t.co/tbfAG1vjjc R u wearing ur #FATCA Flip Flops 2 celebrate ur capitulation 2 @POTUS?

— Lynne Swanson (@LynneBlaze) July 1, 2016

Happy Canada Day Chief Liberal Flip Flopping Hypocrite Prime Minister Trudeau. Are you wearing your FATCA Flip Flops to celebrate your capitulation to a foreign government?

Liberal Hypocrisy must be stopped. Liberals must stop the dirty work. Liberals must stop this dangerous attack on our privacy and on Canada’s sovereignty. Liberals must stop this Charter violation.

Because a Canadian is a Canadian is a Canadian.

Many thanks to Deckard for his help in putting this video together!

President Obama gave a speech to the Canadian House of Commons on Thursday, June 29, 2016. I thought his message deserved a response from a US-born Canadian. Here are my replies to excerpts of his remarks.

In his opening statement Mr. Obama addressed the “people of Canada”.

He was certainly not addressing those of us who actually hail from his country originally. In 2010 he signed into law the Foreign Account Tax Compliance Act (FATCA) by which he began the extortionate enforcement of an antique law from over 100 years ago that nobody knew about, the law of “Citizenship-based Taxation” (CBT). There are many in the Canadian population reckoned to be American by virtue of birth in the USA even though we have subsequently become Canadian citizens, and are as Canadian as the Prime Minister! Yet because of the law of CBT we are also judged to be US taxpayers until the words “I renounce my United States citizenship” comes out of our mouths at the cost of $2,350 USD,  five years of back taxes, and potentially bankrupting penalties.

Belying the festival of brotherly love in the House of Commons on the 29^th of June, divorcing their connection with the United States is now the primary goal of many so-called “US Persons” in Canada. This is because FATCA demands that all Canada’s banks notify the Canada Revenue Agency (CRA) of any clients suspected of being US citizens. The CRA will, in turn, hand over that information (which includes the clients’ names, their account numbers, and the balances in their accounts) to the American Internal Revenue Service (IRS). The record of a client’s birthplace is enough to set this scheme rolling.

In the few seconds it took each of us to read that dreadful news when it first hit the newspapers in Canada in June 2011 our lives were changed forever.

Continue reading →

Thank you, Keith Redmond, for sharing the trail of your correspondence with US DOS (Michele Thoren Bond, Assistant Secretary for Consular Affairs, American Citizen Services, US Department of State and Michelle and Michelle Bernier-Toth, whose DOS position is not stated, but it is implied she is an assistant to Jonathan Finer). We appreciate your asking to keep the conversation going to get through the obfuscation from DOS.

From Michelle Bernier-Toth:

Finally, with regard to your colleague’s question about “dominant and effective nationality,” this is a legal concept sometimes used by states and international dispute resolution forums to determine whether certain individuals or states are able to bring legal claims based on violations of international law. Dominant and effective nationality is an extremely fact-specific inquiry, and we do not employ a general definition of the concept in the international claims context in which it arises.

Keith Redmond’s response:

Good Morning –

Though I do not agree with the way in which the US government (and in this case the US State Department) is handling (i.e. not handling) the situation which is adversely affecting the live of citizens of other countries (e.g. French citizens) who have the undesirable US citizenship because of their parent’s unintentional error in having their child on US soil, I sincerely appreciate your responses and would like to keep the dialogue open as I am working with those living the “nightmare reality” on the ground at the hands of the US government. It is important to note that these individuals cannot live normal lives DIRECTLY as a result of the ACTIONS of the US government and in my opinion, as an American, it is shameful what our country is doing to this population and quite frankly does not care.

It is important to note that the trend is for other countries (e.g. France, Israel, Canada, The Netherlands, Italy, etc.) to realise what is being done and to push back on the US government through the appropriate channels (e.g. diplomatic). This problem is not going away and is getting worse until the US government acknowledges the serious hardships it has created globally.

As an American who is focused on these injustices, the fight shall continue for the civil rights of these populations.

Respectfully yours,
Keith REDMOND

(Thanks to JC and badger suggesting better visibility in its own post here at IsaacBrockSociety.ca).