Monday, December 10, 2012
The Exodus of Wealthy French Taxpayers Continues
Gerard Depardieu is considered to be the most gifted French actor of his epoch. His most famous roles include Cyrano and Jean Valjean in Les Miserables. But Depardieu is leaving France for Belgium...why? To escape the new Socialist government's levy of a 75% tax rate on all income above €1 million per year. Since France also annually taxes accumulated wealth, which had income tax levied at its creation, wealthy French are feeling the pinch of President Hollande's new tax scheme designed to help bail out France's large budget deficit and accumulated national debt. And Depardieu is not the first wealthy French citizen to leave his country. Many celebrities had already become "tax exiles" in prior years, fleeing the highest tax rates in Europe. And with the new 75% rate, people such as the president/chief shareowner of the biggest French family-run business, that includes many of France's fashion couturier houses such as Louis Vuitton, announced several weeks ago his intention to become a Belgian resident. Belgium taxes high-income inividuals at 50% and does not tax wealth. And national icon Johnny Hallyday, the French version of Elvis, left France several years ago. If President Obama and his Democrat Party had the capacity to understand such trends and act on their message, his current determination to tax the upper two percent of American taxpayers at what will work out at just over 50% might end. Because wealthy people are flexible and can live where they choose - and where they feel welcome. But, the wealthy French who leave France to reside in other countries have one big advantage over similar Americans. The French can keep their passports and leave their businesses in France because income and wealth held outside France is safe from the French taxman. But Americans, unlike the citizens of all other countries and in common with Germans, cannot move and avoid US taxes. Wherever their income is generated, it is subject to US taxation. So the longer term problem for Obama and the Democrats is to try to hold these Americans as citizens. For if the top two percent begin to flee America, they will take their wealth and businesses with them and abandon their American passports for those of another country. And America will lose not only wealthy citizens who now pay close to 70% of all individual taxes in the US. America will lose the businesses and JOBS they create and support. Is this really the right goal for an American President to be pursuing?
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ReplyDeleteWhat ever Americans read this posting/article from Casey Pops needs to sent it to all members of the House, Senate and White House.
During all this useless conversation and debate so far on the need to redistribute the wealth of the upper 2% of earners in the US via a higher tax bracket, Casey Pops view point has not come up to my knowledge.
This readers is the personification of the ability of a government to tax it's citizens as they see fit not as the citizens think is fair and equitable or expected when they voted for Mr/Ms "X".
The ability to tax at will is the most dangerous tool that a citizen gives up to it's elected "REPRESENTATIVES" - and I use that term very loosely. Elected officials no longer represent the people ... they represent themselves and the minorities that will continue returning them to their plush jobs in the seat of government for the demeaning entitlements that come their way.
Americans copy this article fro Casey Pops and give it to 5 politically uninvolved friends.
As John Dunn said ... "Don't ask for whom the bell tolls. They toll for you". In this case it's the TAX BELL, not the bells Dunn was speaking of.
When the federal government spends more each year than it collects in tax revenues, it has three choices: It can raise taxes, print money, or borrow money. While these actions may benefit politicians, all three options are bad for average Americans. - Ron Paul
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