Tax consequences of becoming a US citizen

Gabriel Rocha gabe at seul.org
Tue Jul 9 19:26:04 PDT 2002


		On Wed, Jul 10, at 03:30AM, Anonymous wrote:
| The question really is:  Suppose one becomes a US citizen, and
| then resides outside the US.  Then is money on earned on assets
| outside the US taxable by US authorities.

Yes it is. If you are a US citizen your income can be taxed anywhere in
the world. However, there is a trick here, there is a certain ammount (I
believe it to be around $80k) up to which you're exempt from taxation.

| If, on the other hand, after being a resident for a while, and
| paying taxes on money earned while in the US, one leaves the US
| and resides somewhere else, retaining some US assets, is the money
| earned on non US assets taxable?  Is income of a non US resident,
| on non US assets, earning non US income taxable?  Would it be
| taxable if that person had been so careless as to become a US
| citizen during his stay in the US?

As far as I know, all money made in the US (investments or otherwise)
are taxable as US income. Where the "owner" of the money resides is
irrelevant.

| So do I get eligible for imperial taxes anywhere in the world
| merely by staying in the US a while, having a green card and
| paying US taxes, or do I only get eligible for imperial taxes
| anywhere in the world by taking US citizenship?

This question has multiple parts. First off, you can't have a green card
and not be a US resident. The requirements for both go hand in hand, if
you stay out of the US long enough to not be taxed, you're also out of
the US long enough to lose your green card. Likewise, if you get US
citizenship, you're subject to being taxed anywhere in the world. (see
the paragraph above)





More information about the cypherpunks-legacy mailing list