- the tax man;
- creditors;
- your spouse, and
- potential currency controls.
Not one purpose is legal.
Not everything LEGAL is MORAL.
It was once LEGAL for Germans to round up Jews and put them in concentration camps.
It was once legal to tax Americans without representing them in Parliament.
I learned just last year that if you are a German working in America, your salary in America is NOT TAXED in Germany. On the other hand, if you are an American working in Germany, what you earn in Germany is taxed IN GERMANY *AND* IN AMERICA.
In fact, the USA and Eritrea are the only two countries that lay claim on ANY income you have anywhere in the world by virtue of your residency.
I also know of several smart foreign engineers who have green cards. BEFORE coming to America, they made money back home ( be it Taiwan, South Korea or India ) and invested their money back home BEFORE coming to America to work.
In other words, the money was made in India, Taiwan and Korea BEFORE they came here. They invested in property BEFORE coming here and receive income from rent that are deposited in their bank accounts back home.
Now, they realize that simply by virtue of receiving a green card ( being permanent residents in the USA ) working for such companies as INTEL, Oracle or Hewlett Packard, the income they derived from their investments back home ( MONEY THAT NEVER ENTERED THE USA AND WAS MADE BEFORE THEY CAME HERE ) is now being CLAIMED by the IRS.
IS IT MORAL FOR THE IRS TO LAY CLAIM ON MONEY THAT YOU MADE BEFORE YOU RESIDED IN THE UNITED STATES?
Is that fair? Is that just? Are we a free country compared to Germany, Taiwan or South Korea in this case?