JACKIE BUGNION RECEIVES AWARD FOR EXCEPTIONAL SERVICE TO AMERICANS ABROAD

Jackie Bugnion ACA confers Eugene Abrams Citizenship Award for 2017 on Jackie Bugnion

THE EUGENE ABRAMS CITIZENSHIP AWARD 2017 WINNER

excerpts from the ACA site:
 

American Citizens Abroad, Inc. (ACA, Inc.) is proud to confer its Eugene Abrams Award for 2017 on Jackie Bugnion.

The Abrams Award, named for Eugene B. Abrams, ACA Executive Director from 1992-1994, honors Americans abroad who have contributed outstanding volunteer service to their community. This year, it is being presented to an American abroad who has been of invaluable service to the overseas American community around the world.

Mrs. Bugnion served on the ACA Board and Executive Committee for 12 years, from 2003 to 2015, and she was the driving force behind the development of Residency-Based Taxation (RBT), writing detailed RBT proposals, visiting lawmakers and giving speeches on several different continents. She was instrumental in creating relationships with key legislators and the tax writing committees on Capitol Hill, and she wrote policy papers which helped establish ACA as the premier thought-leader on issues affecting the community of Americans living and working overseas.
…….ACA and ACAGF owe a great debt of gratitude to Mrs. Bugnion for her years of service to the organization. She always had excellent insight into the problems facing Americans overseas and worked tirelessly to find practical solutions to these problems. Jackie’s dedication and commitment to the cause of Americans overseas and her committed focus to the issues of overseas taxation and compliancy issues helped bring RBT to the forefront of discussions in Washington.

 
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The following are a set of videos, interviews and reports that demonstrate how clearly Jackie understands the problems of Americans abroad and her no-nonsense approach to fixing them.

CFA SOCIETY SWITZERLAND SPONSORS DEBATE – FATCA, THE WORLDWIDE END OF BANK SECRECY? JUNE 25-26, 2012 GENEVA & ZURICH

The CFA Society, Switzerland sponsored debates on June 25 & 26, 2012 in Geneva & Zurich. Of particular interest is listening to the architect of FATCA, J. Richard (Dick) Harvey, Jr. For a fine review of this by Wellington (a Brocker who attended the debate in Zurich) please see callousness of Mr Harvey & the U.S. government .


full debate – 2 hours

 
ACA DIRECTOR JACKIE BUGNION TALKS ABOUT #FATCA WITH JENNIFER CORDINGLEY OF DUKASCOPY TV – NOVEMBER 15, 2012

This short interview with Jennifer Cordingley of Dukascopy is very concise and you won’t find a better one anywhere. This is the one to convince your family and friends-no hysterics or complaining, just, “this is what it is” (and “oh by the way, its terrible“).

There is no direct representation in Congress or in the Administration for Americans residing overseas in Washington D.C., yet U.S. law seriously impacts the lives of Americans overseas through rules related to transmission of citizenship to children born overseas, through specific penalizing measures related to Social Security payments, and, in particular, through its unique citizenship-based taxation whereby the United States continues to impose its tax regime on Americans living outside of the country, even though they pay taxes where they reside. Most recently, in 2010, Congress passed the FATCA legislation (Foreign Account Tax Compliance Act), which makes it very difficult for Americans abroad to maintain bank accounts in the country where they live.

 

5 minutes
 
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The Little Red #FATCA Book – Review, Identify & Report on U.S. Persons How #FATCA affects the non-US World

reposted from the citizenshipsolutions blog

As many of you know, the long-awaited #FATCA hearing will take place three weeks from today. This is exciting and followed by the news that Congressman Mark Meadows will reintroduce his repeal FATCA legislation. Closely matching is the effort of Nigel Green & Jim Jatras. The recent letter, endorsed by major think tanks, etc is here . We still await the hoped-for tax reform. The fate of those who have not yet chosen whether to become compliant and/or renounce hangs in the balance. Regardless of the outcome(s), our direction will become much clearer in the next little while.

There are so many aspects to #FATCA and how it affects the lives of expats, I suspect it is impossible to be aware of them all. One of the best things we can do, as “ambassadors” is to make sure we are thoroughly conversant with all aspects of it as we discuss it with our family and friends, on online articles and blogs.

j fatca forumJohn Richardson has long been writing about this and has re-organized his “Little Red FATCA Book.” It is likely the most complete account anywhere. I will be reposting it on all the appropriate websites, blogs and Facebook Groups/Pages. Please, share this as widely as possible. Convincing Homelanders, as impossible as it seems, will go farther than perhaps anything else, in garnering support from Congress to rectify this horrid situation. Please, don’t give up, go out and comment everywhere and make sure you know your facts!
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The “Little Red FATCA Book” is a collection of posts that I created over an 18 month period. I have decided to collect the individual posts and organize them in one place. I have grouped the individual posts into three broad chapters which I will call Chapter A, Chapter B and Chapter C. This is a “work in progress”. Some of the posts are incomplete.

FATCA which is essentially the enforcement mechanism of U.S. “Place of Birth Taxation” is a controversial topic. Feel free to post your thoughts and comments.

John Richardson

More at….. citizenshipsolutions blog

Shu Yi Oei: The Offshore Tax Enforcement Dragnet via Allison Christians

reblogged from Allison Christians’ Tax, Society & Culture with permission

Shu Yi Oei (Tulane) has posted an important new paper on U.S. offshore tax enforcement, of interest. Here is the abstract:

Taxpayers who hide assets abroad to evade taxes present a serious enforcement challenge for the United States. In response, the U.S. has developed a family of initiatives that punish and rehabilitate non-compliant taxpayers, raise revenues, and require widespread reporting of offshore financial information. Yet, while these initiatives help catch willful tax cheats, they have also adversely affected immigrants, Americans living abroad, and “accidental Americans.”
This Article critiques the United States’ offshore tax enforcement initiatives, arguing that the U.S. has prioritized two problematic policy commitments in designing enforcement at the expense of competing considerations: First, the U.S. has attempted to equalize enforcement against taxpayers with solely domestic holdings and those with harder-to-detect offshore holdings by imposing harsher reporting requirements and penalties on the latter. But in doing so, it has failed to appropriately distinguish among differently situated taxpayers with offshore holdings. Second, the U.S. has focused on revenue and enforcement, ignoring the significant compliance costs and social harms that its initiatives create.
The confluence of these two policy commitments risks creating high costs for the wrong taxpayers. While offshore tax enforcement may have been designed to catch high¬-net-worth tax cheats, it may instead impose disproportionate burdens on those immigrants and expatriates who have less ability to complain, comply, or “substitute out” of the law’s grasp. This Article argues that the U.S. should redesign its enforcement approach to minimize these risks and suggests reforms to this end.

The paper provides a thorough review of the panoply of offshore enforcement programs and mechanisms and documents the harms of their dragnet approach, especially on the most vulnerable and least likely targets. A significant contribution to the literature.

 

What Lessons Can Be Learned from the Sad Stories of “IRS Compliant” Australians Shaun and Mary?

cross-posted from Brock

by Stephen J. Kish

Karen, on her fixthetaxtreaty.org blog, just posted the sad stories of Australians Shaun and Mary, who did their best to be tax compliant with a foreign country (United States) and then ended the relationship by renunciation of U.S. tax citizenship.

The emotional and financial damage done to these Australians was a direct result of their decision to enter or maintain tax compliance, to the best of their ability, with a foreign state.

We have heard similar stories before, but are there any lessons to learned regarding, for example, whether citizens-permanent residents of countries outside the U.S should ever enter into “IRS tax compliance”?

If Shaun and Mary could go back in time, would they still have entered into the IRS tax system? Is $50k plus emotional distress (post-traumatic stress; stress exceeding that of chemotherapy) a reasonable tradeoff for the renunciation of, divorce from, US tax-citizenship?

What would they now recommend Australians to do in the same situation?

For those persons abroad who do want to become IRS compliant, how could they ever find a trustworthy tax compliance expert? Can tax compliance persons purporting to be cross-border experts be taken to task for their incorrect advice? Does this ever happen?

Is it really possible for any human living outside the U.S. to become IRS tax compliant?

Is it ever ethical (e.g., in this post) to advise the unknowing of their tax “obligations” to a foreign state and by doing so cause them harm?

USCitizenAbroad comments: “It is painfully obvious that Shaun would have been far better if he had NEVER entered the U.S. tax system. This is hindsight. He could never have understood where this was going…” and “…this story is a sad sad reminder that those who have been most hurt by the predatory and immoral practice of U.S. “place of birth taxation” are the ones who tried hardest to comply…”

Karen says: “…the majority of the people profiled on the Our Stories page have already renounced/relinquished. Those that haven’t yet renounced likely will, eventually.* From all the people I’ve spoken to here – including some who are not comfortable sharing their story (even anonymously) – the ones who suffered the most were the ones who tried hardest to comply…”

Shaun’s Story:

I have lived solely in Australia for 3 decades. I kept my US Citizenship thinking that there was no drawback from doing so. I was told I had to continue to file US Tax returns and I would just send the US based CPA my Australian Tax Return & they would send me a huge document saying “No Tax Due” & I would sign it. It was incomprehensible to me how the Australian Tax return was converted to the IRS Tax return. I just thought I would never owe anything due to the tax paid in Australia.

This went on for many years until one year the USA Accountant said I had a huge Tax bill. I couldn’t understand this as all of my US Returns never owed a cent, but it seems that they had been preparing my returns incorrectly and all my deductions in Australia were not deductions in the USA. This was the start of my long intense problem that lasted from for several years

I was never told by the USA CPA that my Self-Managed Superannuation account here in Australia was not considered by the IRS as SUPER, it was considered a Foreign Trust and hence had been reported incorrectly; so all of my Super Savings here & interest income in it was treated by the USA as STRAIGHT INCOME and taxed as such going back 8 years. I lost all the benefit of my Super Savings. Then because the US CPA didn’t fill out the single page Foreign Trust Form the IRS Penalised me 30% of the total amount of my Super Balance. I had hired very good tax lawyers in the USA to handle all my dealings with the IRS & instead of getting me a fair result they were predatory in their billing & let things drag on & on.

The other large issue was all of the money I gave to Charities in Australia over the 8 years were not allowed my US Tax returns because “They were not recognised as USA Approved Charities”. This is another issue that the US CPA never advised me about. So between losing my SUPER & my Charitable deductions I owed a huge sum to the IRS, then add on USA Tax Lawyers & Australian Tax Lawyers fees.

I was so distraught ( I was also being treated for a blood cancer at this time ) I decided to give up my USA Citizenship & all the hassles that entailed. The day I had to give that final statement I was in tears at the counter at the US consulate in Sydney, I felt I had been betrayed & abused by the US. Then I had to file the final IRS form 8854 which again looks at all your assets as Capital Gains at the value the day you gave up your citizenship.

This whole situation was like having a second full time job, the lawyers who were supposed to help & protect you become part of the problem. If I could have chosen between Chemotherapy & dealing with this legal situation, I would have chosen Chemotherapy because at least you would know when the end would happen & the worst thing would be that you could die. With the legal matters months turn to years & I felt totally helpless that it would be resolved before I died.

I made one mistake & was willing to take responsibility for that & I did but all the above things I mentioned were so unfair that I couldn’t cope with it.

So I feel a huge responsibility to help publicise this situation so that other people don’t suffer as I had to for nearly 5 years. Australia is supposed to be the USAs’ best friend; how can best friends treat each other like this?

– Shaun”

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See the Glee at Renouncing U.S. Citizenship

See and hear the glee of this British woman living in Switzerland at renouncing American citizenship.

LaTasha Coates was lucky. She quickly got an appointment in Switzerland and soon after received her CLN.

That is very different than Canada where it may be a year to get an appointment (if a Consulate will even respond to a request for an appointment) followed by another long delay in receiving the CLN.

Or, you can do what Stephen did and travel to Iceland or another country to renounce. That increases the cost but it makes a very nice vacation.