> For most countries, if you are a citizen but don’t reside there, you aren’t taxed in that country.
Is it true? To my knowledge, if one's home and the resident country have double taxation avoidance agreement, the citizen end up paying the maximum of the tax rate amongst the two.
Is it the case that the US doesn't have DTAA at all, or do US citizens always get taxed twice?
USA does have DTAA with maybe 60 countries. Those mutual agreements are based on income from personal services. I think a lot of the comments in this thread are drawing conclusions about specific sources of income:
- there’s an exit tax, might be millions $ for the top-tier. You might give your money to family members or a trust before planning to pay it.
- there’s capital gains tax. This means your income is not from personal services and instead from just being wealthy. Looks to me like a lot of the comments here are defending the rights of people with that lifestyle. Those people do not need DTAA.
- reported income from personal services (labor) is what you’re talking about. The bad experiences in this thread are real, but DTAA is meant to make life easier for professors and touring musicians, etc.
- unreported income is indistinguishable from money laundering. The underworld is a very libertarian place, a sore spot for some in this thread.
Is it true? To my knowledge, if one's home and the resident country have double taxation avoidance agreement, the citizen end up paying the maximum of the tax rate amongst the two.
Is it the case that the US doesn't have DTAA at all, or do US citizens always get taxed twice?