Laid off people turned Ex-Pats Living on the CHEAP?

Discussion in 'Trip Planning' started by Super Suz, Nov 18, 2009.

  1. DNF

    DNF Been here awhile

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    It is freaking out a lot of Yanks that live up here. They are clamping down this year (or maybe last year, whatever).
  2. Brunssd

    Brunssd Potemkin villager

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    A lot of the draft resisters who came here in the 60's and 70's could see a major hit to their RRSP's and such if they've ignored the filing/reporting requirements. McNamara's revenge.
  3. Lone Rider

    Lone Rider Registered User

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    Good post.
    Yes, diy.
  4. eepeqez

    eepeqez Long timer

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    I'm a British/New Zealand dual citizen living in Australia (not American, not living in America) and yet because I own some shares listed on the New York exchange, I have to fill out some basic US tax forms. I was not impressed, not least because my shares were originally listed on London and got changed to the NYSE by my broker.

    I've just finished reading Frederick Forsyth's Dogs of War. There's quite a bit of discussion about moving money around Europe in the early 1970s and I was struck by both how much more complicated and how much simpler it was then. Communications was far more complicated, but the Swiss and Belgians in particular were prepared to move money around with very little information about it's source, destination or owner attached.
  5. Lone Rider

    Lone Rider Registered User

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    The movie is also worth your time, imo.
  6. acejones

    acejones Long timer

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    Money and the custody/changing has always been the motivator for the Swiss. They don't care where it comes from, where its going or who is involved; as long as they can skim a little piece of it everything is OK.
  7. Lone Rider

    Lone Rider Registered User

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    Color/colour them smart. :D
  8. PirateJohn

    PirateJohn Banned

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    Just FYI if you have less than $600 in income then you don't have to file a tax return. There is an IRS form to acknowledge that you aren't filing but it is optional and not a requirement.

    Many entrepreneurs claim that their first year(s) living expenses are a return of capital, and that isn't taxable income.

    Soooo ... as a practical matter I don't want to tell anyone to falsify a tax return but I can also see plenty of ways that a person with a foreign ca$h income could avoid reporting same.
  9. Witold

    Witold Been here awhile

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    If someone is making small money each month and spending it all on life each month, then yeah, it's easy not to declare it. But it also means that person is living hand-to-mouth existence... That's not as great as it sounds if someone is concerned about their future and safety net. My response is meant for people who have decent jobs abroad where they can save some decent income for a rainy day.

    That savings is usually going in a bank, and USA government knows about these accounts. If you have more than 10K in those accounts, you have to declare those accounts to the IRS and if you fail to declare, you are facing civil or criminal charges - or both. And penalties and fines can end up exceeding the balance of your undeclared foreign account. (IRS source)

    People have been avoiding IRS in many ways over the years. A lot of things work - or have worked. In early 90s, I remember that a lot of people in some urban neighborhoods would either not file, or file and lie about their deductions. It worked great for a while. Everyone knew that IRS couldn't really track this stuff very well. But each year, their systems are becoming better and better, and their tracking is better and better. They are working pretty hard to collect as much revenue as they can and they are only getting stricter. Just because something flies under the radar today, doesn't mean it will fly under the radar in 3 years and one might be facing stiff fines and penalties for what used to be a common expat strategy when IRS runs some new cross-checks or get access to some new source of data.

    It is easy for poor people to avoid taxes.

    It is easy for rich people to avid taxes.

    For everyone else in between, they are better off not risking it.
  10. Brunssd

    Brunssd Potemkin villager

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    The only thing to disagree with here is that given the IRS trending enforcement patterns, the poor (especially EITC recipients) have a much harder time avoiding audit and the resulting penalties and taxes than the rich. Being poor is becoming a criminal act in the US, especially working poor.
  11. satz

    satz Adventurer

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    In 04 i brought a townhouse on a beech in southern india - madras... i am from madras originially ,it was my escape plan in case i got laid off and had nothing to do is US and run out of money. The IT companies in India where hiring like crazy at that time or find something to do .I was single and the economy was in the dumpster .

    anyway , right now i live in Mass an hr south of boston. have a house and have 2 little kids and wife
    will i ever use the townhouse i will never know but i have some family members [i am originally from india] use is sporadically but its still there '

    satz
  12. woc4

    woc4 Adventurer

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    Glennr I bought a 30 ft boat on my 68 birthday and sailed by myself from tampa to Tallahassee, my prior knowledge about sailing was from the 60s the boat is still in the dock and i sailed her a couple of times. Now a week ago i got myself a swing after more than 10 years of not riding a bike (it was an old gwing ) So making it short and nicewhenever ou like to sail with me on the gulf you are welcome. Wat im trying to say here is its better to do it and notgoing through life thinking why i didnt do it.
  13. GlennR

    GlennR Playin' in the Fire

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    That's great you got a sailboat and now a bike again. I'd like to take you up on the offer, but these days I have a hard enough time getting away for a few hours to ride the trails on my bike. The wife would be unbearable if I took off to the gulf for a boat ride.
    I'm still trying to get along with her.....
  14. dirtrulz

    dirtrulz Been here awhile

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    You have to love this country. Take on a bunch of debt promising to pay it back and then figure out a way to screw them and not have to pay it back. There are no morals here any more. People walking away from houses, even though they can make the payments, because they are upside down. Whos fault was it they bought the overpriced house in the first place. To me if you make a promise you should do everything in your power to go through with that promise.

    If you borrowed a bunch of money for school and got a useless degree it is no body's fault but your own. Be a man and pay them back, dont look for ways to weasel out of it because you made a stupid decision.
  15. GlennR

    GlennR Playin' in the Fire

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    I agree with paying off your debt.

    But, it is a shame that college costs keep rising & rising in the US. Seems like "if they're so smart" colleges could figure out how to keep costs down!
    I also feel like educational loans should be offered directly from the Fed at the prime rate and avoid the bank profits. Education is should be considered an investment in economic development, and the government seems to look for ways to promote that all the time.

    IMO banks are parasites....
  16. ben2go

    ben2go Moto Flunky

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    We were fine and then all this crap with the economy happened.All of our credit accounts minimum payment doubled and all of our utilities hiked rates a good bit.Then I lost my job due to my health.We are struggling while we await the outcome of my legal suite.Good thing is we own our property and vehicles free and clear.
  17. Patrick46

    Patrick46 visionary

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    Absolutely the most wonderful idea I ever heard of!!! :clap :norton



    GlennR for President??? :deal
  18. MikeB

    MikeB Retired bureaucrat

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    Oh! Oh! Socialist commie pinko heresy! Next thing you know someone will suggest that every citizen of the richest country in the world should get basic health care. You want to be like Sweden?

    Hey....wait a minute.....Sweden has one the most successful economies and healthiest, happiest populations in the world. OK, maybe we can bring them down to our level so we won't feel so bad.:lol3
  19. RTLover

    RTLover Long timer

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    Having a populous that has general agreement on the major issues goes a long way toward its successes.
  20. MikeB

    MikeB Retired bureaucrat

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    So it's fortunate for them that there is a general agreement that every citizen ought to have the opportunity to be healthy and well educated. That's not a difficult consensus to sell.