Dear Mr. President, Why I’m Leaving America

By Robert W. Wood

I received a copy of this letter, and think it is worth reproducing in full:

“Dear Mr. President,

I am writing with a heavy heart as I, my husband, and our daughter are all seriously contemplating giving up our U.S. citizenship. We are doing this not to avoid paying U.S. taxes but because we strongly object to a system that is blatantly discriminatory and unfair to law-abiding Americans living outside the country. In addition, it has become too expensive, too difficult, and frankly, too frightening, to try to comply with all of the tax filing requirements that now apply to citizens living abroad…

Read the full article at Forbes.

US court upholds IRS penalty on US expat demanding tax refund

By Eugenio Montesano
International Adviser

A US court has dismissed a complaint by an American citizen residing in Canada who claimed to have paid an unconstitutional penalty for failing to file the fiscal documentation required for his offshore business.

United States District of Columbia Judge Christopher R. Cooper upheld the $120,000 (£92,588, €102,070) penalty imposed on Donald Dewees, an American citizen currently residing in Toronto, Canada, where he set up a small consulting company.

Because the business is incorporated abroad, Dewees was required to provide certain annual information about the firm to the United States Internal Revenue Services (IRS).

Instead, for the 12 tax years from 1997to 2008 he failed to file the Forms 5471 (Information Return of US Persons with Respect to Certain Foreign Corporations)…

Read the full article at International Adviser.