It is extremely unfortunate that US’s tax system is being onerous that even some rich individuals consider that they have no other option but to renounce the American Citizenship in order to guard their finances and their families. This time it’s Facebook’s co-founder who is escaping for the region of Singapore and giving up US citizenship.
The billionaire co- founder of Facebook Corporation, Eduardo Saverin has renounced his American citizenship before the IPO’s that makes the social networking giant worth $96 billion, and this particular move made by him perhaps could help him reduce his tax cuts.
According to the site, Saverin holds a stake which is around 4%. At the high end of the Initial Public offering valuation, his 4% would be approximately $3.84 billion.
Saverin, 30 years of age has joined a growing number of individuals who are simply giving up their American citizenship, an approach that can be useful in trimming down their tax liabilities while they are living in the country.
What’s that interesting about this news is that Saverin’s expatriation took place a few days before a Piece was published in the New York Times regarding the US Tax Policy Impacts on Migration.
I totally agree to the fact that Taxes happen to be another imperative aspect when people are making their decisions related to where they should live, work, save as well as invest.
All such people who have been giving up their citizenship because of the Tax policies, are called as the ‘economic Benedict Arnolds’ or the ‘tax traitors’ by the statists but some do have a point of view that the American government should make some appropriate kind of permanent claim on individual’s economic output.
If people are leaving the USA only because the tax policies are onerous, that is a signal when the government should make suitable reforms to the tax code.