“The pessimist complains about the wind; the optimist expects it to change; the realist adjusts the sails. —William Arthur Ward
The Flight of the Golden Geese: How the 1% Matter to the 99% By Lesperance, David S, Angell, Ian
Earlier this week, President Trump pardoned two turkeys in what has become an annual White House tradition. His successor-to-be, Joe Biden, has signaled that he will be less merciful in his treatment of a different kind of bird – the proverbial “goose that lays the golden egg.”
Biden has championed his plan to raise taxes on individuals with income above $400,000, including raising individual income, capital gains, and payroll taxes. While this allegedly will bring in an additional $3.3 trillion in revenue over the next decade, the true figure will likely be lower, as growth slows and the tax base shrinks in response to higher taxes. This will partly be driven by the accelerated flight of the wealthiest individuals to more tax-friendly jurisdictions.
David Lesperance is an international tax and immigration expert who sees the writing on the wall for both High Net Worth individuals (HNWIs) who remain in places like the United States, and the politicians who are depending on these Golden Geese to stay. His firm, Lesperance & Associates helps clients select from a menu of more favorable jurisdictions to legally keep as much of their wealth as possible. This year alone, a record 6,045 Americans renounced their citizenship, and many more obtained “back up” citizenship in counties like Cyprus – including former Google CEO Eric Schmidt.
While progressive taxation schemes like Biden’s might sound good on paper, the end result is a shrinking and fragile tax base as fewer and fewer rich stick around to get “soaked.”
David joins me Sunday to talk about the options for HNWIs, and the danger to countries like the United States of going the way of France or the UK in their treatment of their Golden Geese. We will also discuss how average Americans can achieve the freedoms that libertarians value without convincing a majority of voters of the merits of libertarian principles.
You won’t want to miss this very practical episode of the show of #ideasnotattitude.
Benjamin Franklin once said: "Those who would give up essential Liberty, to purchase a little temporary Safety, deserve neither Liberty nor Safety."
Essential Liberty: Finding Freedom in a Post-COVID World By Zadek, Bob
- Book: The Flight of the Golden Geese: How the 1% Matter to the 99% eBook: Lesperance, David S, Angell, Ian [ Kindle Store]
- Blog - Lesperance and Associates
- WHEN IS IT TIME TO LEAVE THE GAME? Interview with David Lesperance, Lara Murphy Report, April 2020
- Biden Tax Plan: Details & Analysis | Election 2020 | Tax Foundation