That is CURRENTLY true concerning Indians. I may have misread an article that I had found in relation to totalization agreements which do in fact exempt foreign nationals from US FICA. However, Indians amongst others are lobbying Congress to pass totalization treaties with them.
Taxing times: Nasscom pitches for totalisation deal with US, UK
There are bilateral tax treaties with Canada and some Eurpoean countries that enable H1-Bs to pay into their home SS system. But no treaty with India, and no treaty with Russia, at least when I employed a bunch of Russians.
There's MANY countries that have totalization agreements with the US.
From U.S. INTERNATIONAL SOCIAL SECURITY AGREEMENTS
Country | Entry into Force | |
---|---|---|
Italy | November 1, 1978 | |
Germany | December 1, 1979 | |
Switzerland | November 1, 1980 | |
Belgium | July 1, 1984 | |
Norway | July 1, 1984 | |
Canada | August 1, 1984 | |
United Kingdom | January 1, 1985 | |
Sweden | January 1, 1987 | |
Spain | April 1, 1988 | |
France | July 1, 1988 | |
Portugal | August 1, 1989 | |
Netherlands | November 1, 1990 | |
Austria | November 1, 1991 | |
Finland | November 1, 1992 | |
Ireland | September 1, 1993 | |
Luxembourg | November 1, 1993 | |
Greece | September 1, 1994 | |
South Korea | April 1, 2001 | |
Chile | December 1, 2001 | |
Australia | October 1, 2002 |
We get and keep ALL their FICA. More than 10 billion per year.
For NOW we get to keep the FICA from Indian nationals. That may change. As far as this 10 billion dollar figure, do you have any source information on that?
That's not counting normal income tax.
And where do you get the idea we pay for universities in India, much less China? Like I said, unless these people are frauds (some certainly are - I have seen some firsthand) or seat-warmers for dishonest consulting firms, smart immigrants are a huge benefit.
I also make a lot of money from working for overseas companies. Last year 30% of my billable hours and 40% of my gross were on project located in Europe. We need to make high-value professional work more easily internationalizable. It's good for us.
I would like to see secure borders and wetbacks out of our schools, hospitals, prisons, and welfare programs first. Sriram the software guy is the least of our worries.