liar liar

This blog covers many aspects of the life of an ex-American expat author who had to renounce to be able to live a normal financial life in Europe. I battle regularly against FATCA which is destroying so many expat lives. Subscribe to be notified of future posts by clicking in the top right corner.

The temptation to throw my iPad across the room as I listened to the statement of the spokesperson for the US House Ways and Means Committee on the BBC broadcast about the damage being done to 8.7 expat Americans, accidental Americans and Green card holders was almost irresistible. 

What stopped me? 

I am too cheap to buy a new one.

Here's what she said:

"The US treasury has worked tirelessly to address many of the problems and most have been resolved. All you have to do is to look at how many countries have agreed to the law and how many financial institutions have signed it onto the law."

Was she nuts, ignorant or a liar?

The broadcast went on to tell Fabian's story, an Accidental American who had the misfortune to be  born in California and didn't even know he was American. He pointed out he lived and worked in France and didn't even speak English.

However for his bank and other French banks the fact he was born in the US is enough to shut him out of the system. He has no way to pay his bills.

To renounce he must have a SS number and that can take months. He will also have to file five years of back taxes to a country where he hasn't been for decades, which requires the help of expensive accountants with special knowledge. Then he will have to spend $2,350 for his freedom from a country that claims to be the land of the free. Of course this can take months or even years and in the meantime...no banking ability.

Jane,who lived in France for years, did know she was American but didn't expect a bank screen to flash in red NO AMERICANS. 

Meanwhile because of the unique US citizen-based taxation she is double taxed on her small pension and like Fabian will need to spend a large part of her income to free herself.

She said about her need to renounce to survive financially, "I am proud of being American: it is what I am when I look in the mirror and if it weren’t for FATCA I’d never do this. It is breaking me in half." 

She used the word "extortionist" to describe what the US was doing to her.

If these were the only two stories that would be one thing, but this scenario is being enacted all over the world because of FATCA.

As for the second big lie....

The other big lie told by the Way and Means spokesperson was about how happily everyone is signing on and complying.

Of course the banks are complying. They face up to 30% seizure of their assets and being shut out of the international markets if they don't.  

No one has asked the banks around the world how happy they are to be spending billions to be in compliance with the bully US.

Liar, ignorant or nuts? I say all three.