Just so you don't think the USA has all the tax problems of the world, consider this: France has a plan to put in place a millionaire's tax for those with over a joint income over $1.3 million dollars, at a rate of 75%. Now before you laugh because of the limits, consider these thoughts: with everything you have been hearing about the Fiscal Cliff, the 75% tax is just short of double the rate here. Just like here, there is much controversy: it applies to individuals and not households: as a result, two households with the same total income could end up paying different rates... and you thought our tax code was complicated! Actor Gerard Depardieu, in a long time battle with the French government and adversary of high taxes, moved his residence just miles away into a small town in Belgium and applied for Russian citizenship. This move would effectively change his tax rate from 75% to 13%. Russian President Vladimir Putin, within days, signed an executive order granting Depardieu Russian citizenship. Billionaire Bernard Arnault, chief executive officer of LVMH Moet Hennessy Louis Vuitton SA, has filed for Belgian nationality in September for just the same reason. What a difference a few miles makes.
I don't know about you, but a move to either Belgium or Russia is not in my plans... no matter how the fiscal cliff talks turn out!