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0 pointsyboris5y ago0 comments

I heard an idea: "you must declare all your assets, if an asset is found that you're not claiming, it becomes government property".

So if you try to game the system by not claiming a vacation home, it just becomes public property.

Thoughts?

0 comments

vmception5y ago

still very gameable.

The LLC with the innocuous name of 123 Main St LLC which is the owner of the property at 123 Main St definitely has an owner, and it might not be a tax resident because the LLC is owned by 123 Main St Limited in the Cayman Islands and the ultimate beneficial owner, who is still unknown at this point, may not be an American to begin with.

So just applying heuristics to "hey that house doesn't appear in our tax records get it boys" would create more problems than you think.

And this also circles back to "not competitive". If your country has problems with expropriation people will stop coming there, and others will leave.

But also note, the US constitution does protect against expropriation in the 5th amendment. When rich people start being the subject of civil asset forfeiture the 5th amendment will suddenly start applying again.