After attempting to insert similar language into bill after bill, <a>it appears that Congress has finally managed the feat</a>.
The bill will apply taxes to renouncing citizens and to expatriating aliens who meet certain income or asset tests. These taxes include
- deemed disposition of all property and consequent imposition of capital gains taxes on exit
- immediate 30% withholding on deferred compensation
- treatment of retirement accounts as if the funds in the account are withdrawn in a lump sum in the year of renunciation / expatriation (the 10% penalty for distributions before age 59 1/2 does not apply)
- imposition of gift tax at the top rate on any moneys sent by the expatriate to persons still subject to US taxes
Temporary snowbird? Congress has it in for you.
Moderator: Mark T Serbinski CA CPA
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- Posts: 68
- Joined: Sun Nov 21, 2004 1:22 pm
- Location: The Dry Side of the Wet Coast
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Can't get a link into a post to save my life.
http://online.wsj.com/article/SB1211932 ... _nonsub_pj
http://online.wsj.com/article/SB1211932 ... _nonsub_pj