By: Jeffrey Klein
Political Buzz Examiner
Senator Chuck Schumer (D-NY) has been totally on board with President Barack Obama in not wanting to protect the U.S. border against illegal immigrant ingress, to protect their voter base–but now, he is changing his tune and wants to effectively build a border fence around the United States to hold wealthy U.S. citizens and their money “captive.”
In a completely arrogant and bloviating example of self-aggrandizement, Sen. Schumer, accompanied by a demure Sen. Bob Casey (D-PA), went before TV news camera’s Wednesday, in an attempt to “threaten” 30 year old Facebook co-founder Eduardo Saverin, with all of the apocalyptic government “fire and brimstone” that he could breathlessly muster.
Saverin, who owns 4 percent of Facebook stock, was born and raised in Brazil and has always maintained his Brazilian citizenship. But, after he came to the U.S. in 1998, he also acquired U.S. citizenship, then attended Harvard University and became the roommate of Jeff Zuckerberg–the founder and majority owner of Facebook.
Last September [2011], prior to the announcement of Facebook’s intent to do an Initial Public Offering (IPO)–whose stock began trading on the NASDAQ stock exchange today–Saverin renounced his U.S. citizenship and became a resident of Singapore.
But, why is Senator Schumer so upset?
Because Eduardo Saverin’s Facebook stock would have been valued on the day before he renounced his citizenship–last year before the IPO was even announced–when its “market value” would have been far less, and stunningly lower than it is trading on the stock market today.
According to the content of Schumer’s press conference, as reported in a FOXNews article yesterday, he isn’t aware of the “exit tax,” which was established under the unanimously passed Heart Act of 2008. This law requires U.S. citizens that meet certain minimum financial criteria to file what is essentially a final tax return, valuing all of their assets and including all of their income for the year, on the date before their citizenship renunciation–rendering the lawful taxes on such capital gains and income due and payable to the IRS at the time of exit.
It has been reported that Saverin has already paid these taxes.
So, in an absolute fit of political class warfare and jealous rage, Senators Schumer and Toomey unveiled their so-called “Ex-Patriot Act,” which would subject high-earning ex-Americans to a steep capital gains tax–essentially the “Buffet Rule,” which would add another 15% to the pre-existing 15% capital gains tax rate, for a total of 30%.
Schumer and Toomey can credit the “dear leader” with Saverin’s cleverly executed and legal escape, to avoid what is now estimated to be about $100 million in additional taxes.
President Barack Obama has been running around the country since last year, when he began his campaign of class warfare–threatening to financially “rape and pillage” all of America’s “evil” millionaires and billionaires–especially if they have their own private jet.
As we paraphrased Margaret Thatcher yesterday … “The problem with Socialism is that sooner or later they run out of other peoples money.”
Socialism relies on the ignorance and greed of the Liberal masses to take root, but their destiny is soon cut short when the wealthy flee their corruption–draining the life-blood out of their plan–just like happened with Cuba.
That’s why Senator Schumer and Democrats are so terrified and want to lock all the exit doors.
