This listing contains the name of each individual losing their United States citizenship (within the meaning of section 877(a) or 877A) with respect to whom the Secretary received information on a quarterly basis. The expatriation tax provisions under Section 877 and Section 877A of the Internal Revenue Code (IRC) apply to US citizens who have renounced their citizenship and long-term residents (as defined in IRC 877(e))
who have ended their US resident status for federal tax purposes.
Expatriation on or after June 17, 2008
If you expatriated on or after June 17, 2008, the new IRC 877A expatriation rules apply to you if any of the following statements apply.
- Your average annual net income tax for the 5 years ending before the date of expatriation or termination of residency is more than a specified amount that is adjusted for inflation ($162,000 for 2017, $165,000 for 2018, $168,000 for 2019, and $171,000 for 2020.
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- Your net worth is $2 million or more on the date of your expatriation or termination of residency.
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- You fail to certify on Form 8854 that you have complied with all U.S. federal tax obligations for the 5 years preceding the date of your expatriation or termination of residency.
Is Elieen Gu paying federal taxes in US ? I don't think so. That's why probably she is not listed there. She was only 15 in 2019 when became a Chinese citizen and renounced US one, she wasn't an adult.
IRC 877A is the law that regarding people who Expatriate to avoid tax, which is a crime in the US. It have no different if you expatriate tax, which only mean if you expatriate (renouncing) your citizenship you are still liable for tax as non-resident alien status for the last 5 years if you earn any money in the US. Otherwise it is a crime for you to relinguish your citizenship solely because you try to avoid tax.
www.law.cornell.edu
(a)Treatment of expatriates
(1)In general
Every nonresident alien individual to whom this section applies and who, within the 10-year period immediately preceding the close of the taxable year, lost United States citizenship shall be taxable for such taxable year in the manner provided in subsection (b) if the tax imposed pursuant to such subsection (after any reduction in such tax under the last sentence of such subsection) exceeds the tax which, without regard to this section, is imposed pursuant to section 871.
(2)Individuals subject to this sectionThis section shall apply to any individual if—
(A)
the average annual net income tax (as defined in section 38(c)(1)) of such individual for the period of 5 taxable years ending before the date of the loss of United States citizenship is greater than $124,000,
(B)
the net worth of the individual as of such date is $2,000,000 or more, or
(C)
such individual fails to certify under penalty of perjury that he has met the requirements of this title for the 5 preceding taxable years or fails to submit such evidence of such compliance as the Secretary may require.
In the case of the loss of United States citizenship in any calendar year after 2004, such $124,000 amount shall be increased by an amount equal to such dollar amount multiplied by the cost-of-living adjustment determined under section 1(f)(3) for such calendar year by substituting “2003” for “1992” in subparagraph (B) thereof. Any increase under the preceding sentence shall be rounded to the nearest multiple of $1,000.
The database is unaffected whether you met this criteria or not, it just mean that if you met this criteria set out on 877a2, you are still liable to pay tax for the last 10 years (If you had not done so already) or that would consider a violation of IRC 877, which mean you have broken the law.
Everyone renouncing Citizenship will appear on that database, again, that serve more than just IRS, you are a prohibited person once they renounced their citizenship, that was used to maintain NICS.
So yes, if she renounced her citizenship, her name will be there, and if she is earning 120000 a year in the preceding 5 years or worth 2 millions net worth or failed to certified she had not make this requirement for the last 5 years, then that mean she would have to pay the tax for the last 10 years before she renounce her citizenship. That's it.