Tax traps of holding and attempting to renounce a US Green Card

Tax traps of holding and attempting to renounce a US Green Card

Joining us today is a special guest, Gary Clueit. Mr. Clueit is a US Green Card holder who has been in the US for 34 years. He employs hundreds of people, but the US tax code is forcing him into a precarious situation. Helping to clear the confusion is John Richardson of Citizenship Solutions, Keith Redmond, global advocate for the American Overseas, with host, tax attorney Anthony Parent of Parent & Parent LLP The four discuss the problems unique to sophisticated Green Card holders like Mr Clueitt, who have investments and business around the world. The problem for Green Card holders is that once they have held a Green Card for 8 of the past 15 years, they are subject to an exit tax. Doubling insulting is that their US assets, after renouncing, after paying taxes on them, is subject to the estate/inheritance tax of US property owned by a foreign person. Which is what someone like Mr. Clueit becomes once he surrenders his Green Card. There are some possible solutions, but would they work for Mr. Clueit? And as Mr. Clueit recognizes he is fortunate enough to have the resources to tackle his IRS issue. The fact is that many don't have or can't see the wisdom in paying six figures or more for a compliance and planning package. The fact is that the US tax code, and additions like the Foreign Account Tax Compliance act has not just made Americans toxic, but too, America toxic. Mr. Clueit speaks of market changes in the tech sector have made it so that America is not a must-go-to destination for those advancing their careers, but the additional problem of a terrible taxing regime is absolutely harming America's competitiveness. Unfortunately, it does not look like Tax Reform 2.0, if passed, will offer much relief to Green Card holders like Gary, but rather, must look to innovative lawyers and tax professionals to make the best of a bad situation. Again, Mr. Clueit can afford this cost, but many others can not. Parent & Parent LLP 144 South Main Street Wallingford, CT 06492 (203) 269-6699 info@irsmedic.com https://youtu.be/uLY36oDGjqo IRS Medic