Stop Tax Haven Abuse Act
December 9, 2008An article came out in yesterdays Royal Gazette as well as on the PLP Blog on Bermuda’s commitment to stopping foreign tax cheats. Paula Cox told the Royal Gazette:
This Government shares Senator’s Levin’s concerns about tax dodgers. Bermuda has assisted the United States in its efforts to stem tax evasion for 20 years through the tax treaty that was signed in 1988.
Indeed the US Internal Revenue Service has commended Bermuda for its very co-operative assistance through the tax treaty. The Government of Bermuda has established and maintained positive relationships on Capitol Hill and the tax treaty should stand us in good stead there be a need.
I really don’t see the US leaving Bermuda out of the Stop Tax Haven Abuse Act because we’ve helped them with a few tax dodgers over the last 20 years. I hope reminding the US Government of this help isn’t Governments sole strategy to tackle Obama’s plan to shut down tax havens.
Regarding taxation in Bermuda. My ex husband is reporting on his taxes an earned income credit of $ 365.00 and that he paid $ 193.00 in taxes to Bermuda. I realize I am talking about very small amounts of money but what could this be and is it pointing at something bigger? I thought Bermuda was a no tax country. Why would this $ 365.00 generate a 50% tax?
In 2008 he worked in Australia, gone one month, and reports he earned only $ 2300.00. Is there a way he could have sent money to a business or whatever in Bermuda? He checks “NO” on his taxes to the questions about owning foreign companies, bank accts. etc etc. Help!