Senators Schumer and Casey Aim to Trap People Who Might Want a Different Government Service Provider
WASHINGTON — Democratic Sens. Chuck Schumer (N.Y.) and Bob Casey (Pa.) took aim at Facebook co-founder Eduardo Saverin Thursday when they introduced legislation designed to tax expatriates even after they have left the country.
Saverin, who stands to make $4 billion from Facebook’s expected IPO on Friday, announced that he had renounced his US citizenship last week. His move is widely believed to be a financial one.
The two senators, who called his decision “despicable,” said Saverin stands to save $67 to $100 million in taxes by renouncing his citizenship.
Their so-called “Ex-PATRIOT Act” would impose a mandatory 30 percent tax on American investments for those who renounce their citizenship and would also prohibit individuals like Saverin from re-entering the country.