StudentShare solutions
Triangle menu

Avoiding Taxes - Assignment Example


Extract of sample
Avoiding Taxes

Renouncing citizenship The determination of some citizens to avoid the payment of income taxes has led them to the idea renouncing their US citizenship. As per s 349(a) (5) of the Immigration and Nationality Act (INA) (8 U.S.C. 1481(a) (5)), a US citizen is given the right to voluntarily renounce US citizenship. Expatriated citizens are bound to adhere to the expatriation tax provisions depending on their net worth. Since the government has found a way to oblige US citizens to pay taxes even when they are overseas, giving up US citizenship has become the last resort for some, who view tax liabilities as burdensome and inequitable. The aim of renunciation is to be exempted from tax liabilities, not only when residing in the country, but also when considering going out of the country for whatever personal reasons. Once a U.S. citizenship is relinquished, the income tax duties of an individual diminish. 2. Establishing dual citizenship The US government is not in full of dual citizenship as it may bring confusion on the part of a dual-national U.S citizen. Nevertheless, individuals, who have the chance to acquire dual citizenship, make use of this opportunity to lessen their tax obligations. Acquiring a dual status does not totally eliminate tax liability but only limits the obligation depending on the part of the year when an individual is deemed a resident alien or a non resident alien. Notwithstanding, the income, which is not in any way associated with business transactions, in the country,

Check these samples - they also fit your topic

The rights-based approach and carbon taxes in Australia
Information technology comes in by capitalizing on the requirement for green technology that carbon tax will necessarily generate and helping provide the know-how, expertise and research to contribute to the green revolution.
4 pages (1000 words) Assignment
Directors responsibilities with regard to avoidance of tax
172 COMPANIES ACT 2006 AND ENLIGHTENED SHAREHOLDER VALUE 17 Conclusions and Recommendations 18 LIST OF REFERENCES 21 Should company directors have a duty to their company to avoid paying taxes? Introduction Taxes are paid to government of the country which depicts that the company is willing to share its profits with the government as it provides the firm with facilities and easy and flexible policies.
14 pages (3500 words) Assignment
Imposition of the Pigouvin Taxes
The paper considers possible positive and negative effects of the introduction of taxes on junk food, alcohols and cigarettes. Economists wonder whether this action is well-reasoned. In the US, the support for such taxes is spreading and the Congress are considering to tax sugary drinks in order to help pay for expansion of health-care coverage.
2 pages (500 words) Assignment
Referee Report on Tsoutsoura, Margarita, 2010, The effect of succession taxes on family firm investment: Evidence from a natural experiment
The author comes up with two outstanding findings using two methodologies to carry out the study. The first one is that transfer taxes have a highly negative impact on the
3 pages (750 words) Assignment
The rationale for this position is the prevailing disparities in American society. Despite being the richest country in the world, the United States lags
1 pages (250 words) Assignment
Tax avoidance; a debate easily resolved
This view has always resulted into several views and tax related crimes like tax evasion and even avoidance. Such acts have the tends to reduce the amount of tax that any given individual pays. Therefore, with these entire issues, how would we approach the subject of tax
8 pages (2000 words) Assignment
Bartlett (2012)2, identifies tax reforms as a vital policy concern of the American government. The recent economic slowdown contributed significantly to drop of federal revenue.
6 pages (1500 words) Assignment
International Taxation: Policy and Practices
The voice increased when Republican presidential candidate Rick Perry supported the common US people. He came up with an alternative of 20% flat
10 pages (2500 words) Assignment
Who are you
For years, the United Kingdom government has taken deliberate policies that have weakened the economy, increase unemployment and Britain’s influence in the international arena (Brown 91). My leadership aims to increase the minimum wages in the country and also
1 pages (250 words) Assignment
Avoiding plagiarism
Seeking help is against the student code and constitutes to academic dishonesty because it is classified as cheating. Bellevue College gives students freedom of expression and
2 pages (500 words) Assignment
will not make an individual accountable to a tax liability. 3. Renouncing citizenship vs. establishing dual citizenship Renouncing citizenship or establishing dual citizenship shares the similar goal and that is to mitigate the impact of tax liability on individuals. However, the variation lies on the fact that renouncing citizenship may eliminate tax liabilities of an individual even when they are outside of the country while establishing dual citizenship only limits a tax liability and adds tax liabilities on the other country, where the individual is also a citizen. Apparently, a decision to relinquish citizenship or to grab the opportunity of having dual citizenship (if applicable) is driven by the desire to no longer deal with increasing tax obligations in the country. Either way, because of tax increases, U.S. citizens are enticed to renounce their citizenship because of stringent taxation policies that oblige them to still pay income taxes even outside its territories or to apply for dual citizenship to ease the burden of paying income taxes, which is an individual obligation for being a resident in the land of uncle Sam. 4. Preferred measure in dealing with tax liability The renunciation of U.S. citizenship is seen as an acceptable action not to make one burdened with tax liabilities. As mentioned earlier, U.S. citizens may choose to formally renunciate U.S. citizenship, or may do expatriating acts that lead the government to take measures to relinquish such citizenship (Kirsch, 2006). In either way, once U.S. citizenship is renunciated without a tax purpose for expatriation, the individual will not be bound to tax as “U.S. citizen for U.S. citizen tax purposes” (Cantley, 2003, p. 223). Thence, this would be a convenient choice to lessen tax liabilities, especially when feeling overly burdened with the responsibility. 5. Alternatives to reduce tax liability without renouncing citiz
Cite this document
  • APA
  • MLA
(“Avoiding Taxes Assignment Example | Topics and Well Written Essays - 750 words”, n.d.)
Retrieved from
(Avoiding Taxes Assignment Example | Topics and Well Written Essays - 750 Words)
“Avoiding Taxes Assignment Example | Topics and Well Written Essays - 750 Words”, n.d.
  • Cited: 0 times


Avoiding Taxes Individuals residing in the U.S. are obliged to pay their income taxes (Hoffman, Maloney, Raabe, & Young, 2013). The government uses the income tax to obtain funds for the building of public infrastructure and services. However, not all taxpayers are in favor of paying income taxes…
Avoiding Taxes
Read Text Preview
Comments (0)
Click to create a comment
Let us find you another Assignment on topic Avoiding Taxes for FREE!
Contact us:
Contact Us Now
FREE Mobile Apps:
  • About StudentShare
  • Testimonials
  • FAQ
  • Blog
  • Free Essays
  • New Essays
  • Essays
  • The Newest Essay Topics
  • Index samples by all dates
Join us:
Contact Us