• Chetzemoka@kbin.social
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    1 year ago

    You already have to do this in the US. The first $120,000 of income is exempt from federal taxes when you live abroad, but everything above that is subject to US federal income tax.

    And you don’t have to MOVE there to shelter tax. You just create a shell corporation that is housed there virtually that owns your yacht, your third house, your businesses. That’s why there are 800,000 corporations with an address in the British Virgin Islands even though the main island is only 22km long and the entire country only has around 30,000 people in it.

    You clearly have no idea how any of this really works and you’re just parroting things you heard or read somewhere. Let me suggest you stop talking and try to learn something here instead.

    Rich people are not going to flee the United States because of taxes for two reasons: We have good infrastructure (relatively speaking anyway) and we have a reliable, predictable business court system.

    Do you know why Cayman, Bahamas, and British Virgin Islands are actually preferred for creation of shell corporations? Because their court systems appeal all the way to the United Kingdom supreme court. Stable business court system is the reason those countries were able to take advantage of loopholes in our tax code.