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TagsBY BOB HOLT
NEWJERSEYNEWSROOM.COM
New York Democratic Senator Charles Schumer says Facebook co-founder Eduardo Saverin wants to de-friend the U.S. to get out of paying taxes, so he’ll be poking Saverin with new legislation.
According to The Hill, Schumer and Democratic Senator Bob Casey of Pennsylvania have introduced the Ex-Patriot Act, where anyone with a net worth of $2 million or an average income tax liability of $148,000 over the last five years who attempts to renounce citizenship will be considered to be dodging taxes.
Saverin actually renounced his citizenship in September and is living in Singapore.
Bloomberg reported that Saverin will save around $67 million in federal income taxes by dropping his U.S. citizenship; Singapore does not tax capital gains, while the U.S. rate is 15 percent.
Saverin, 30, owns about four percent of Facebook. That share could be worth about $4 billion after early initial public offering results.
He said that his move had nothing to do with income taxes. Saverin’s spokesman Tom Goodman told the Wall Street Journal the move was financially motivated.
“U.S. citizens are severely restricted as to what they can invest in and where they can maintain accounts,” Goodman said. “Many foreign funds and banks won’t accept Americans.”
Saverin said he has been living in Singapore since 2009, according to the Los Angeles Times. He said, "I have paid and will continue to pay any taxes due on everything I earned while a U.S. citizen. It is unfortunate that my personal choice has led to a public debate, based entirely on speculation and misinformation."
