Territorial taxation for individuals

Please can I urge everybody here to write and phone your senators and congressperson to ask them to support territorial taxation for individuals? We may be getting close to ending the absurdity of citizenship based taxation. Thanks everyone for helping to push for this important change http://www.internationalinvestment.net/products/tax/american-expat-groups-turn-heat-us-lawmakers-tax/

Helen usually writes good and supportive articles. I see John Richardson is quoted.

For those unfamiliar, there are 2 issues, the first being the result of the second:
1) The transition/repatriation/GILTI issue (repatriation pertains to your money being repatriated, not you).
2) CBT.

The TTFI initiative is an attempt to create an environment more tax friendly to USCs abroad. It is not clear, as of yet, what measures the Bill will contain once submitted. The initial view of the preface indicates a qualifying period - but that could change. It may be similar to the DA/ACA proposal in order to placate the Democrats - or it may be something else. BUT, it will be better supported on both sides of the House if constituents contact their Senators and Congressperson. 

Please can I urge everybody here to write and phone your senators and congressperson to ask them to support territorial taxation for individuals? We may be getting close to ending the absurdity of citizenship based taxation. Thanks everyone for helping to push for this important change http://www.internationalinvestment.net/products/tax/american-expat-groups-turn-heat-us-lawmakers-tax/

Thanks for this. Our congressman is actually Kevin Brady as we still vote in his district.

Once one leaves the USA, which Senators/Congressmen are "ours"?

Once one leaves the USA, which Senators/Congressmen are "ours"?

When I registered my overseas vote in 2016 I did it through Montgomery County which was where I used to live and vote and the ballot papers reflected that. But that was my first year away so I don’t really know.

Yes, durhamlad is right; you can register at your last known US address, or if you are an accidental you can register at your parents’ last known US address. The Dems Abroad site can help you register https://www.democratsabroad.org/ready_to_vote_from_abroad

Find your Congressperson:
https://whoismyrepresentative.com/

Find your Senator:
https://www.senate.gov/senators/index.htm

As LionHeart said, it's your last permanent place of residence in the US.


And for voting:
https://www.fvap.gov/
 

Thanks!

American Citizens Abroad posted this news on their website this week. https://www.americansabroad.org/news/rbt-its-happening-now/

Please also ask any family you have in the states to contact their representatives and request their support for territorial/residence based taxation. We need to pull out all the stops for this one. Cheers

A gentle reminder – do not allow political leanings to influence a response. Citizenship Based Taxation (CBT) is not politically based. Both parties, the Democrats and the Republicans, are equally guilty of passing legislation which has been harmful to US expats.

This is the best attempt to date to acknowledge the unfair results of plausible legislation for those who are resident in the US versus the often unfortunate consequences on many US expats. Not everyone may feel there is an immediate concern regards their situation, both in personal terms or for expats resident in the UK, but the issue is not only about legislation as it exists today, but the consequences any future legislation could have on all of us due to unbridled CBT.
     
Our Congressperson/Senators may be of an opposing party and therefore we don’t wish to enter into dialogue with them. It is essential in this instance to realise we are not approaching them in a political sense, but as a constituent with a unique situation that only a Congressperson or Senator can resolve. Currently, although having significant bi-partisan support, this is an initiative put forward during a Republican led Congress. If this bothers anyone, be aware the Democrats are equally conflicted by CBT as it exists today. If you would like a Democratic composed letter to send your Congressperson/Senator, see the templates at the bottom of the following link:

https://www.democratsabroad.org/carmelan/demsabroad_lion_city_residency_based_tax_action_pack

Don’t sit back and let other persons do the heavy lifting – get involved for your own future benefit. Both Democrat and Republican organisations abroad are equally supporting this initiative. Most importantly, it requires the support of individual US expats and their friends and family IF it is to progress.   

It looks like one aspect of working overseas for any length of time has been overlooked and that is the impact on US Social Security Benefits because of WEP.

Paying into any pension separate from US SS whilst not contributing through FICA will cause WEP to take effect and reduce ones SS benefits accordingly.

Sorry Ukradya could you clarify? Overlooked by whom?

I don’t know anything about SS because my whole adult life has been spent in the UK. For short term expats and anyone else who wants to maintain US tax compliance, territorial taxation (TTFI) will have opt-ins so that your SS etc are not adversely affected.

WEP affects those that qualify for BOTH US SS Benefits AND another pension earned whilst not contributing to SS through FICA. If one does not qualify for SS then obviously there is no WEP to apply. Below is from th SS WEP Fact Sheet.

Your Social Security retirement or disability benefits can be reduced The Windfall Elimination Provision can affect how we calculate your retirement or disability benefit. If you work for an employer who doesn’t withhold Social Security taxes from your salary, such as a government agency or an employer in another country, any retirement or disability pension you get from that work can reduce your Social Security benefits. When your benefits can be affected This provision can affect you when you earn a retirement or disability pension from an employer who didn’t withhold Social Security taxes  and  you qualify for Social Security retirement or disability benefits from work in other jobs for which you did pay taxes.

Citizenship Taxation (non-resident taxation) and WEP are being handled as two separate issues. WEP has not been forgotten.

https://www.americansabroad.org/social-security/

https://aaro.org/social-security

https://www.americansabroad.org/aca-position/

WEP applies to those with between 40 quarters (10 years) and 119 quarters (29.75 years) of substantial years of SS contributions who have additional foreign primary pensions. Those with less than 39 quarters (9.75 years), but who use the US/UK Totalization agreement to obtain US SS due to sufficient UK State pension contributions will not be WEPed. Those with 120 quarters (30 or more years) will not be WEPed.