ACA in the News: If you don’t like the results of the presidential election, here’s where you can go
MarketWatch (September 10, 2020)
Opinion: If you don’t like the results of the presidential election, here’s where you can go
By Morey Stettner
“'There’s a perception that if you move overseas, you won’t have to pay [U.S.] taxes,' said Marylouise Serrato, executive director of American Citizens Abroad in Washington, D.C. But even if you become a permanent resident of a foreign country and pay taxes there, your world-wide income remains subject to U.S. federal income tax.
She adds that many financial institutions want to see proof of a U.S. residential address, including utility bills in your name. Using a relative’s address won’t suffice.
'We see problems where individuals hold investment accounts, IRAs and 401(k)s with U.S. financial services companies and then move overseas,' Serrato said. 'If you don’t have a residential address in the U.S., the company may freeze your account or ask you to have it liquidated by closing your account, returning your money and forcing you to invest it elsewhere.'"