Posted on 05/11/2012 2:24:03 PM PDT by SeekAndFind
Billionaire Facebook cofounder Eduardo Saverin is renouncing his citizenship ahead of the company's IPO at the end of next week.
Saverin is the cofounder who got booted from the company WAY back in 2005. They made a movie about it.
His 4 percent stake is worth about $4 billion and he's going to save a boatload on taxes with the move.
Singapore, where Saverin lives, does not have a capital gains tax.
He will have to pay an exit tax on his holdings, but it will be at Facebook's valuation now, not after the IPO.
“Eduardo recently found it more practical to become a resident of Singapore since he plans to live there for an indefinite period of time,” Tom Goodman, a spokesman for Saverin, tells Bloomberg's Danielle Kucera, Sanat Vallikappen and Christine Harper.
Mostly, Saverin got in the way of Facebook's early development. At one point, he froze the company's bank account because he wasn't getting enough attention. Still, he was its first outside investor. And for that, insiders have described him as one of the most important people in company history.
(Excerpt) Read more at businessinsider.com ...
IIRC, he did this months ago, September.....value then was debatable
[The 1996 law included a provision to bar entry to any individual “who officially renounces United States citizenship and who is determined by the Attorney General to have renounced United States citizenship for the purpose of avoiding taxation by the United States.” There is no known case of this provision, known as the Reed Amendment, having ever been enforced.]
“1996 HIPAA (Health Insurance Portability and Accountability Act of 1996), H.R. 3103, 104th Congress, page 158” (PDF). Retrieved 2012-05-11.
So, at least theoretically, this guy would be rejected for a travel visa to the US.
I have a cooler ideer. A discussion forum where those who don’t get an obvious joke (such as #6) get their credit card charged for $10.
Exactly. Eduardo is now investing (conservatively, I read in the WSJ)in Singapore. D’uh!
“He’s liberal.”
Where in the article mentions his political leanings?
He is smart looking after his interests. There is nothing wrong with that.
This is the modern version of Going Galt I guess
Yes, but those are taxes on the value NOW, not after the IPO.
I’m guessing he’s pretty sure it’s a good idea.
The desired condition is a civil society and rule of law. Elections and the free press are just tools that have often been effective at helping societies get to that goal.
OTOH, free elections do not necessarily mean that the goal will be reached. See 1930s Germany and the Middle East today.
A one party state is not necessarily oppressive, it's just that it tends to head in that direction because there are no checks and balances.
One nice thing about FR...no one here ever posts that kind of stuff about people.
However Rogers did not renounce his citizenship, as far as I know
This guy doesn't look very “Singaporean” if you know what I mean
But I suspect to guys like this, nationality is nothing more than where you own a home and have passport
Smart.
Barak Hussein Obama, "I don't care about more revenue, only fairness. If you have more, you should pay more or leave."
yitbos
What’s Ebay?
LOL........I bet the left never saw that coming!
It’s a exit tax... and it mark to market. An it’s not cheap.
Also, Singapore... mandated universal health care (tho’ I should be careful there... it seems very complicated) and strict gun control.
> I agree with Eduardo. I’d be nothing but a
> cloud of dust too if I had any money.
Leave... but for where. Out of the 200 odd places to pick, you’ve either got dictators, religious kooks, gun laws, or socialism. And those are just the best options.
LOL. right on.
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