The fun never stops. The IRS is reaching out to Caymanians who were born in the US. This message came into Monty Pelerin regarding citizens of the Cayman Islands:
I just read your article on the American Thinker web site regarding FATCA. I “googled” it because this past weekend we celebrated the marriage of an American girl to a Caymanian boy (who was born in Miami, FL and holds dual citizenship) and I met one of the groom’s many relatives who are affected by this new drive to collect taxes from dual citizens. I am so disgusted with the government reaching into the pockets of these people. There is a large contingency of Cayman citizens whose only “tie” to the US in that they were born in Miami. For health and safety reasons their parents chose to have their children born in a hospital in Miami.
They paid their bill and went home. They never lived here. Never worked here. And now the government has sent these people threatening letters demanding they pay taxes on money earned in Cayman. These “dual” citizens have no representation in the US government and no one to advocate on their behalf. Shame on the U S government to hound and threaten these people.
I write to you because this is another category of folks who are impacted by FATCA. I asked if they planned to renounce their US citizenship and they admitted they are giving serious consideration. How much does that cost? According to my now distant relative, $12,000…and I forgot to ask if that was US dollars or CI. How about going after the illegals on our soil who are actually benefiting from the goodies the FEDS pass out on the taxpayer dime instead of harassing good people who are NOT MOOCHERS.
Thanks for your analysis. I am writing my congressman and senators this week.
So I wrote Monty the following comments:
I will be sure to share this on the ex-pat forum, where I’ve been participating. The problem it as I see it is that the IRS can make victims of us one at a time unless we voice our protest as one. Therefore, I come out in the open concerning my opposition to FBAR, and you and your readers can learn it about it here: https://righteousinvestor.com/2011/11/15/pillaging-one-person-at-a-time-why-im-coming-out-in-the-open-with-my-fight-against-the-irs/
I can’t thank you enough for getting “When government turns predator” to the press at the prestigious and well-read American Thinker.
The attempt on the part of the IRS to attack Caymanian citizens is pitiful. The vast majority of Caymanian citizens are not wealthy, though they are like many in North America, middle class. But despite the island having a reputation for wealth, the citizens themselves are normal hard-working people. It is shameful for the US government to harass them. But shame doesn’t work on them. I have come to wish for the economic meltdown to happen quickly so that the US government will run out of resources to pursue such unprofitable avenues. Yesterday I read that 5400 IRS employees will be sacked. I can’t help but feel Schadenfreude.
Oh, and I should say also that those who are being harassed in this manner are probably not citizen depending on when they were born and when they became Caymanian citizens. At most, they need to simply relinquish citizenship. I would be happy to discuss what I know with this person, if you want to send him my e-mail address. If a lawyer told them it costs $12,000 he’s not telling the truth. That’s his fee. The most it should cost is $450. But they are probably not citizens, if they do not chose to be.