Tuesday, May 30, 2006

Tax Cuts for All...Oh except you Meta

I'm not sure what my view is on what the tax burden of expats should be. Should they pay no taxes because they don't live in the US? Or are they not paying enough taxes? I don't think they should pay zero taxes and I think it's ridiculous to claim they are "subsidizing" the rest of us.

Americans Living Abroad Get a Nasty Tax Surprise - New York Times: "In an effort to raise revenues, tax writers in Congress added a last-minute provision that retroactively increased taxes for Americans living abroad."

Most countries exempt their citizens overseas from income taxes, so the law will give companies an incentive to hire Australians, Britons, Canadians and other nationalities for whom they do not have to pay additional taxes.

In a furious letter to Senator Grassley, widely circulated among expatriates, Ms. Kraabel contended that overseas Americans subsidize their countrymen in the United States by helping to pay for services they never use.

"You will be hard pressed to find us on federal roads, state roads, county roads, or even to find us on the ruins of Decorah's old green bridge," she wrote. "We are your subsidy. We are your constituents, whose interests you condemn and refuse to represent."

In addition, analysts said the law did nothing about the hundreds of thousands of Americans living overseas who have illegally stopped paying income taxes.



0 Comments:

Post a Comment

<< Home