Monthly Archives: April 2015

Go Purple for Ginny and Gwen

Ginny and Gwen need us to Go Purple for them.
As Stephen posted in the fund raising thread, Embee has a great suggestion for all of us:

“I was looking at a ten dollar bill this Ten Dollarsmorning — a rather pretty thing with our first PM on the frontside (who is now rolling in anguish in his grave at the antics of our current PM) and with the “Canadian/Le Canadien” train winding its way through some beautiful mountain scenery on the backside.
Then I got thinking about inflation (we’ve all noticed it happening I’m sure) and how little a dollar/loonie buys these days BUT ten dollars will still buy two people a light lunch at Tim Hortons, so that’s something at least.
It would be lovely for me to be able to treat Ginny and Gwen to a light lunch at Tim Hortons someday but I know that right now what they really want (as do all of us) is to see the Sovereignty Thermometer start rising.
IF I CAN SEE JUST 9 other Brocker/Sandboxer Canadians post, in this thread, that they are IN FOR TEN TOO I will put my pretty ten dollar bill in the mail today.
Ten dollars may seem like a small amount, but 10 tens make a hundred and (I hope this is not just wishful thinking) 100 tens make a thousand.
This is the return address I will use for my 10-4-2 or Ten Dollars for Two Brave Plaintiffs donation:
PO Box 1042
My Town’s name, My Province’s Code
My Postal Code
This is the address I will send my 10-4-2 donation to:
ADCS
Attention: Stephen Kish
283 College Street
PO Box 67678
Toronto, ON
M5T 3M1
So is anyone else IN FOR TEN TOO?”

EmBee is right about Sir John A MacDonald. This is what he said a long time ago and what he would likely say today:

If I had influence over the minds of the people of Canada, any power over their intellect, I would leave them this legacy: ‘Whatever you do, adhere to the Union. We are a great country, and shall become one of the greatest in the universe if we preserve it; we shall sink into insignificance and adversity if we suffer it to be broken.’

Don`t let Canada sink into insignificance against the U.S. Do it for Sir John A. Do it for EmBee. Do it for Ginny and Gwen.
Do it to help Canada remain one of the greatest countries in the universe.
I know many people have already given lots. Some have given nothing. Can we all dig into our wallets and get those purple bills in the mail? (Other denominations, other currencies, cheques and PayPal are welcome too!)
Help fund the world’s first FATCA lawsuit.
Purple is my favourite colour. Post your Purples Now!
I’m in for Ten. Are You?

Brilliant Proposal for Elimination of CBT

A proposal for the Elimination of Citizenship Based Taxation has been written for the U.S. Senate Finance Committee by Shadow Raider over at Brock.
As EmBee says:

It’s brilliant … absolutely brilliant!!!

In clear language, Shadow Raider outlines why the arguments justifying CBT are invalid. He has done a comprehensive review of the U.S. mammoth and complex U.S. Tax Code, yet offers simple solutions to change it.
Do I think Congress will adopt these recommendations? In drawing a conclusion about that, I will simply quote Will Rogers:

The only difference between death and taxes is that death doesn’t get worse every time Congress meets.

Powerful Videos for U.S.Senate Finance Committee

Tricia Moon has posted the very powerful videos being submitted to U.S. Senate Finance Committee at Brock. I don’t see how anyone can view the Video Portion of Senate Finance Committee these and justify Citiszneship-based taxation or FATCA (but I also do not understand how anyone could read our submissions to Finance Canada and agree to the IGA!).
I hope these will make a difference.
Many thanks to those who organized, coordinated, filmed and participated in this important project.
Here is what Tricia said in the Brock post:
We have a Vimeo site, Citizenship Taxation, to post this portion of the submission. I am not sure if it is necessary to be a member of Vimeo to view them; I do know I signed up for free access.
Having sat through the entire filming portion of each of these, I am impressed at how well each excerpt captures the essence of each individual’s point of view/situation. On the day these were filmed, it was very powerful to hear each of these people relate their stories; one person’s was done spontaneously, without any prior preparation. Generally, none used scripts and I was surprised at how incredibly capable they were, at describing their dilemmas in a focused way. Some were as short as 10 minutes and the longest was 30 minutes. Each has been edited to approximately 5 minutes each.
The point of our submission, is to demonstrate the harm the US policy of citizenship-based taxation brings in its various (and bizarre) applications to individual situations. There are of course, certain elements common to all. However, listening to “Linda” for example, describe what led her family to own Mutual Funds in the first place, is to understand how she and her husband, knowing of his fatal condition, planned and executed a way to provide for their three children after his death. It must have been excruciatingly painful to live through those years knowing that this young family would soon face life without their father, husband, & best friend. Yet, this was how this family survived. How perverse is it then, for her to face not only the fact the US still considers her a “US Person,” but that she is a criminal, in spite of having left the US over four decades ago? Should she be willing to commit financial suicide due to a circumstance outside her control, that of being born in the US? What person could be expected to do such a thing? And for WHAT? Or Barbara, who received totally erroneous advice having already relinquished US citizenship decades ago, being put into OVDI? (Every time I hear of someone being advised to become compliant when they are NOT a US Person makes me want to scream for the blood of those who continue to do this.) And so on……
We will be providing the rest of the submission (as well as the full transcripts of the interviews) over the course of the next couple of weeks. The comments/letters document to which many of you contributed, is over 200 pages. We appreciate your patience as this has proved to be a very large project.
For now, please watch and do share these widely with family and friends, on Facebook, Twitter, etc. We especially need Homelanders to see these and understand that we are not the FATCATs

Wanted: Ginny and Gwenny – Runaway Tax Slaves

Cross-Posted from GwEvil at Isaac Brock Society. Wanted: Ginny and Gwenny – Runaway Tax Slaves.
Wanted_Ginny1
Wanted_Gwenny1
Help these two women, captured in a nightmare for having the audacity to leave the USA at five years of age and thinking they could live happily ever after in Canada, only to be betrayed by both countries!
Does five years of innocence deserve a life of being hounded by Uncle Sam with threats of fines and imprisonment? Should any US person who lives outside of the USA be threatened like these two five years old are?
If you don’t think so, please donate at: Alliance for the Defence of Canadian Sovereignty

FATCA American Legal Imperialism

Two University of Michigan law professors describe FATCA well. In the Introduction to FATCA American Legal Imperialism, the authors compare the background FATCA to the plot line of a new thriller.
Then, still in the intro, Bruce W. Bean and Abbey L. Wright begin telling the realities:

FATCA has engendered a maelstrom of comment and criticism…One of the most egregious examples of U.S. legal imperialism-the extraterritorial application of federal legislation.

They address Ginny and Gwen’s lawsuit being crowd funded by ADCS, but warn Canadian banks would report directly to IRS if Ginny and Gwen win the lawsuit. They fail to mention that Canadian banks could not do that without violating Canadian laws if Ginny and Gwen succeed in their challenge.
Professors Bean and Wright point out that customers of FFIs who have no U.S. Connection whatsovever must complete IRS Form W-8 BEN (page 24). They write:

Wait! “Under penalties of perjury,” those without any U.S. connection whatsoever must prove they are not U.S. persons? Does this take extraterritoriality to a new level? Was Congress so crazy that it not only imposed significant obligations on tens of thousands of FFIs but it also requires perhaps hundreds of millions of their customers to prove they are not subject to U.S. tax rules?”

(Dear Professors: Answers to your questions are: Yep. Yep. Yep.)
They cover reactions to FATCA, accidental Americans, declining U.S. dollar, and the fact “FATCA has gone where no U.S. law has gone before.”
Despite all that, the authors report FATCA has resulted mainly in “submission.” They conclude FATCA is here to stay and is creating “the emergence of copycat initiatives.”
All of this is even more reason why we must continue to fight and to help Ginny and Gwen win their lawsuit.

Video Portion of Senate Finance Committee Submission Ready!

We have a Vimeo site, Citizenship Taxation, to post this portion of the submission. I am not sure if it is necessary to be a member of Vimeo to view them; I do know I signed up for free access.
Having sat through the entire filming portion of each of these, I am impressed at how well each excerpt captures the essence of each individual’s point of view/situation. On the day these were filmed, it was very powerful to hear each of these people relate their stories; one person’s was done spontaneously, without any prior preparation. Generally, none used scripts and I was surprised at how incredibly capable they were, at describing their dilemmas in a focused way. Some were as short as 10 minutes and the longest was 30 minutes. Each has been edited to approximately 5 minutes each.
The point of our submission, is to demonstrate the harm the US policy of citizenship-based taxation brings in its various (and bizarre) applications to individual situations.There are of course, certain elements common to all. However, listening to “Linda” for example, describe what led her family to own Mutual Funds in the first place, is to understand how she and her husband, knowing of his fatal condition, planned and executed a way to provide for their three children after his death. It must have been excruciatingly painful to live through those years knowing that this young family would soon face life without their father, husband, & best friend. Yet, this was how this family survived. How perverse is it then, for her to face, not only the fact the US still considers her a “US Person,” but that she is a criminal, in spite of having left the US over four decades ago? Should she be willing to commit financial suicide due to a circumstance outside her control, that of being born in the US? What person could be expected to do such a thing? And for WHAT? Or Barbara, who received totally erroneous advice having already relinquished US citizenship decades ago, being put into OVDI? (Every time I hear of someone being advised to become compliant when they are NOT a US Person makes me want to scream for the blood of those who continue to do this.) And so on……
We will be providing the rest of the submission (as well as the full transcripts of the interviews) over the course of the next couple of weeks. The comments/letters document to which many of you contributed, is over 200 pages. We appreciate your patience as this has proved to be a very large project.
For now, please watch and do share these widely with family and friends, on Facebook, Twitter, etc. We especially need Homelanders to see these and understand that we are not the FATCATs.

Renouncing US citizenship? How the S. 877A “Exit Tax” may apply to your Canadian assets – 15 Parts

 
This is a 15-part series which is designed to provide you with some basic education on:
How the U.S. S. 877A Exit Tax rules work; and
 
How they particularly affect Canadians with a U.S. birthplace, who lived most of their lives in Canada.
 

 
The 15 parts are:
 
Part 1 – April 1, 2015 – “Facts are stubborn things” – The results of the “Exit Tax”
 
Part 2 – April 2, 2015 –“How could this possibly happen? “Exit Taxes” in a system of residence based taxation vs. Exit Taxes in a system of “citizenship (place of birth) taxation”
 
Part 3 – April 3, 2015 – “The “Exit Tax” affects “covered expatriates” – what is a “covered expatriate”?”
 
Part 4 – April 4, 2015 – “You are a “covered expatriate” How the “Exit Tax” is actually calculated”
 
Part 5 – April 5, 2015 – “The “Exit Tax” in action – Five actual scenarios with 5 actual completed U.S. tax returns.”
Part 6 – April 6, 2015 – “Surely, expatriation is NOT worse than death! The two million asset test should be raised to the Estate Tax limitation – approximately five million dollars – It’s Time”
 
Part 7 – April 7, 2015 – Why 2015 is a good year for many #Americansabroad to relinquish US citizenship – It’s the “Exchange Rate”
Part 8 – April 8, 2015 – “The U.S. “Exit Tax vs. Canada’s Departure Tax – Understanding the difference between citizenship taxation and residence taxation”
Part 9 – April 9, 2015 – “Why understanding the U.S. “Exit Tax” teaches us all we need to know about “citizenship taxation”
Part 10 – April 10, 2015 – “The s-877a exit tax and possible treaty relief under the canada us tax treaty”
Part 11 – April 11, 2015 – “S. 2801 of the Internal Revenue Code is NOT a S. 877A “Exit Tax”, but a punishment for the “sins of the father (relinquishment)”
Part 12 – April 12, 2015 – “The two kinds of U.S. citizenship: Citizenship for “immigration and nationality” and citizenship for “taxation” – Are we taxed because we are citizens or are we citizens because we are taxed?”
Part 13 – April 13, 2015 – “I relinquished U.S. citizenship many years ago. Could I still have U.S. tax citizenship?”
Part 14 – April 14, 2015 – “Leaving the U.S. tax system – renounce or relinquish U.S. citizenship, What’s the difference?”
Part 15 – May 22, 2015 – “Interview with GordonTLong.com – “Citizenship taxation”, the S. 877A Exit Tax, PFICs and Americans abroad”

Continue reading Renouncing US citizenship? How the S. 877A “Exit Tax” may apply to your Canadian assets – 15 Parts

Around the World America's Taxman Cometh with FATCA

A writer for Huffington Post nails it with an article Around the World America’s Taxman Cometh.
Wendy N. Powell writes:

Who can argue with a process to catch tax shelters in the proverbial Swiss bank account? Not many, but this includes a world-wide dragnet that snags innocents resulting in little known serious consequences for hard working Americans and their families living and working overseas.

She then quotes Mark Mazur, the Treasury Department’s assistant secretary for tax policy who said: said:

The government’s new enforcement was intended to help make sure all taxpayers pay what they owe “regardless of where they live.”

Rather than just accepting the tax cheat fair share rhetoric like so many journalists do, Ms. Powell tries to see some of the real issues:

But “What they owe”, how they can invest, and do their banking is the resounding question.
The U.S. is the only industrialized country that taxes its citizens on their world-wide income, no matter where they live And FATCA has been referred to as a range of: protection from tax shelters, a net to catch people who don’t want to report their income, all the way to pure fascism.
It is hard to fathom walking in the shoes of an American abroad experiencing the effects of the Foreign Account Tax Compliance Act (FATCA) Friends from social media have shared stories of serious difficulties handling their finances and investments and “divorce overseas style” with quite literal gut-wrenching effects.
There is bitter resentment of new U.S. tax laws but lasting affection for their homeland. This includes many American veterans that are renouncing their citizenship because they cannot conduct their financial business any longer; bank accounts, retirement accounts closing, mortgages rescinded and denied. And no American veteran should ever consider renouncing American citizenship due to invasive tax and reporting obligations.

Bitter resentment. Yeah, you might say that. I call it something else that I won`t post here. And I and many others do not have lasting affection for the U.S. It is not even the homeland for many caught up in this mess!