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Friends in Congress Ask for 2021 Tax Relief for Americans Abroad

Thanks to all who responded to the DA campaign in support of a letter from Congress to Ways and Means Chairman Richie Neal asking that tax relief for Americans abroad be included in the House Build Back Better (budget reconciliation) Bill.  Click here to download the letter.

Look out for a social media campaign pushing U.S. Senators to back tax relief for Americans abroad in the Senate budget reconciliation bill.

Tax relief will happen when enough Americans abroad reach out to their elected representatives and demand it.

DA Taxation Task Force


Call to help achieve tax reform for Americans abroad this year!

Call your Elected Representatives today and ask them to include tax relief for Americans abroad in the reconciliation bill!

Democrats Abroad has been advocating on your behalf for many years in Washington, and we're excited to share that our tax reform recommendations are close to getting into the upcoming reconciliation bill -- but we need your help!

Contact Washington by calling, messaging, or both. The more the better!

Here are instructions on how to call Congress:

  1. Go to this website and enter your US voting address.
  2. Call the numbers listed for your 2 senators and 1 House representative.

Read this script:

Americans abroad are always forgotten in the tax-writing process. This has caused a compounding of unintended consequences and made it difficult for everyday middle-class Americans, like me, to file a US tax return.

Can you include two simple reforms to the tax code for Americans abroad in the upcoming reconciliation bill?

1. A filing modification for Americans abroad who owe $0 in US taxes.
2. An exemption for small and medium sized American abroad business owners from the GILTI tax.

The $0 tax owed filing modification has already won support in the House from Representatives on the Ways & Means Committee including Don Beyer (D-VA-08), Brendan Boyle (D-PA-02), Judy Chu (D-CA-27), Danny Davis (D-IL-07), Suzan DelBene (D-WA-01), Jimmy Panetta (D-CA-20), Brad Schneider (D-IL-10), Tom Suozzi (D-NY-03), and Mike Thompson (D-CA-05). Legislative language is in the process of being drafted nowWill you help ensure this filing modification is included in the final version to greatly simplify tax filing for Americans living outside the US who owe $0 in US taxes?

We also ask for your support in exempting small American abroad business owners from the GILTI tax. When the GILTI tax was passed in the 2017 Tax Cuts and Jobs Act, it forced many American abroad business owners to close or become non-compliant in order to survive. GILTI was intended for the Googles and the Apples of the world, not mom and pop Main Street businesses. There has been little appetite to fix GILTI since implementation, even though everyone knows it's the right thing to do. What can be done, can be undone. We urge you to ensure an exemption for small and medium sized American abroad business owners from the GILTI tax is included in the reconciliation bill.

[Insert your own personal story that's relevant here]

Thank you in advance for your support for including Americans abroad in the reconciliation bill.

 

If you'd like more detailed information on how to Contact your Members of Congress, watch this video:

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What can you do to help achieve tax reform for Americans abroad this year?

Write to your Elected Representatives today and ask them to include tax relief for Americans abroad in the reconciliation bill!

Democrats Abroad has been advocating on your behalf for many years in Washington, and we're excited to share that our tax reform recommendations are close to getting into the upcoming reconciliation bill -- but we need your help!

Copy the text below then click here to paste it into a message to your Members of Congress. Click here if you prefer to call.

Note: You need to use the last US address you lived at (even if it was many years ago!) and put in 000-000-0000 for the phone number in order to submit the form. Also, we've had a high number of submissions so if the system gets hung up, don’t worry. Check that your email was sent by checking your emails for the confirmation receipt or go back and try again later. You can also contact all 3 of your Members of Congress individually by clicking here.

Subject: Please Put This Tax Relief for Americans Abroad in the Reconciliation Bill

Americans abroad are always forgotten in the tax-writing process. This has caused a compounding of unintended consequences and made it difficult for everyday middle-class Americans, like me, to file a US tax return.

Can you include two simple reforms to the tax code for Americans abroad in the upcoming reconciliation bill?

1. A filing modification for Americans abroad who owe $0 in US taxes.
2. An exemption for small and medium sized American abroad business owners from the GILTI tax.

The $0 tax owed filing modification has already won support in the House from Representatives on the Ways & Means Committee including Don Beyer (D-VA-08), Brendan Boyle (D-PA-02), Judy Chu (D-CA-27), Danny Davis (D-IL-07), Suzan DelBene (D-WA-01), Jimmy Panetta (D-CA-20), Brad Schneider (D-IL-10), Tom Suozzi (D-NY-03), and Mike Thompson (D-CA-05). Legislative language is in the process of being drafted nowWill you help ensure this filing modification is included in the final version to greatly simplify tax filing for Americans living outside the US who owe $0 in US taxes?

We also ask for your support in exempting small American abroad business owners from the GILTI tax. When the GILTI tax was passed in the 2017 Tax Cuts and Jobs Act, it forced many American abroad business owners to close or become non-compliant in order to survive. GILTI was intended for the Googles and the Apples of the world, not mom and pop Main Street businesses. There has been little appetite to fix GILTI since implementation, even though everyone knows it's the right thing to do. What can be done, can be undone. We urge you to ensure an exemption for small and medium sized American abroad business owners from the GILTI tax is included in the reconciliation bill.

[Insert your own personal story that's relevant here]

Thank you in advance for your support for including Americans abroad in the reconciliation bill.

Sincerely,

[Your name]

 

If you'd like more detailed information on how to Contact your Members of Congress, watch this video:

Read more

WHAT WE ARE FIGHTING FOR: Tax Relief for Americans Abroad in the 2021 Budget Reconciliation Bill

Americans abroad need action from Congress to eliminate double taxation, remove barriers to banking, saving and investing and simplify filing. We have been talking to Congress for many years about a switch to Residency Based Taxation (RBT). Americans abroad won’t be taxed fairly and on a par with the rest of the world until we have RBT.

Work is on-going on a model to introduce RBT that would provide lasting relief to Americans abroad and not create tax loopholes. We support that work wholeheartedly, as RBT is still the goal that Democrats Abroad has in it sights. We commit to continuing the work to persuade Congress to embrace RBT, but we cannot let this critical year for ground-breaking legislation finish without achieving some practical, consequential tax relief for Americans abroad.

We believe Congress can adopt and enact these reforms for Americans abroad this year. 

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Democrats Abroad responds to the Sen Fin Comm International Tax Framework proposals

Democrats Abroad joins fellow activists seeking tax relief for Americans abroad in responding to the Senate Finance Committee's International Tax Framework Discussion Draft.  Click here to download our submission.  Included in our submission is a Briefing Note summarising our August research findings on the experience of American business owners abroad and GILTI Tax.  Click here to download the GILTI Tax and American Businesses Abroad Briefing Note.  The whole of the research is available here.

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Democrats Abroad publishes new data on the experience of Americans abroad and the GILTI Tax

In August 2021 Democrats Abroad hosted a research project to examine how the small to medium size businesses of Americans abroad are coping with the onerous new tax burdens created by the 2017 TCJA. 

Click here to download the research report. 

Click here to download the datapack.

We are using the findings in our work to persuade Congress to embrace our GILTI Tax reform recommendation for American business owners abroad:  an exemption from the GILTI tax for American business owners abroad with income under $400,000.  

We hope this data is useful to lawmakers, advocates and activists interested in understanding the experience of Americans abroad and GILTI Tax and working on ways to provide support and relief to the Americans raising families and building a future off the operations of their small to medium size businesses registered abroad.

Please contact the Democrats Abroad Taxation Task Force with questions: [email protected]


DA Summer Successes on the Road to Tax Relief for Americans Abroad

Democrats Abroad work through the dog days of summer has set up tax reform activists for a powerful drive through the autumn months to get tax relief for U.S. citizens abroad into the 2021 Budget Reconciliation Bill. 

Read on for updates on:

  • Expat tax relief currently being drafted into legislative language for the 2021 Budget Reconciliation Bill;
  • GILTI Tax research findings being used to persuade Congress to also include GILTI Tax relief in legislation this year;
  • Discussions with the IRS to secure access for Americans abroad to IRS online accounts and other service portals, and to halt automatic assessment notices; and
  • Planning for DA webinars in the coming months about restoring U.S. tax compliance.

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July Progress on Tax Relief for Americans Abroad

Democrats Abroad is working extremely hard to get tax relief for Americans abroad into legislation being written RIGHT NOW.  July was a huge month of activity and achievement in the fight for tax reform for Americans abroad.

In this update we share -

  • DA’s success in getting tax writers in Congress to support a filing simplification for Americans abroad included in legislation this year 
  • DA’s GILTI Tax research survey NOW CLOSED for submissions by Americans abroad who own small businesses and need GILTI Tax Relief; and
  • DA’s engagement with the National Taxpayer Advocate about improvements to IRS service for Americans abroad.

Details ARE below.  Contact us at any time with questions:  taxationtf[email protected]

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Constituents Won Support from Congress for Tax Relief! Register here to Tax Talk with your Rep.

In July Dems Abroad hosted zoom calls for Americans abroad whose Representatives are critical to getting tax relief for Americans abroad into legislation this year.  They were a great success!  Because of the personal stories constituents told their elected representatives about their experience with U.S. taxation, we now have support for a filing modification for those who owe no tax from seven members.  Your Representative could be next in our program of Constituents Abroad Zooms.  If you want to talk to your Rep about US taxation REGISTER AT THIS LINK.


Let's Get GILTI Tax Relief This Year. Congress needs data. THE SURVEY IS NOW CLOSED

Let's get GILTI Tax relief into legislation this year.  Congress needs data on Americans abroad who have small businesses hit by GILTI Tax.  If you are an American living abroad with a small to medium size business registered as a company in the country you live in please click here to do this GILTI Tax survey.  Thank you!

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