People forget that tax havens are only tax havens if you keep their existence secret from the IRS. If you don’t, they are just funds that happen to be located overseas.
Under pressure from the powerful and ever-more-greedy US government, bank secrecy has pretty much gone away. I’ve heard that many overseas banks refuse to open accounts for US citizens because it’s not worth the potential hassle.
Yet another reason for a consumption based tax—who cares where you stash your money if the taxes are assessed when you spend it?
“Yet another reason for a consumption based tax—who cares where you stash your money if the taxes are assessed when you spend it?”
And when the bulk of the money gets spent offshore? Make your money tax free and spend it overseas. Great system for everyone that can afford to do it, but it would suck the high hard one for everone stuck paying an extra 33% tax on everything they buy.