Subject: Privacy World's December 2013 Newsletter Issue 2Dec
> Privacy World - The WORLD'S SHREWDEST PRIVACY NEWSLETTER
>
> Due to numerous requests we've been asked to republish the below
> newsletter issue again for our readers to end this year.
>
> As this is our last newsletter issue for 2013, we'd like to thank
> our subscribers and customers for their support during the past
> years and wish all a Happy and safe Holiday Season!
>
> All the best.
>
> PW
>
> We received an interesting email from a loyal reader and brave lady,
> who basically wrote "It's getting really scary here" (USA.)
>
> We replied maybe its time for her to make her exodus. She replied:
>
> Hello P.W.
>
> For the last couple of hours, I have been thinking about your note
> to me. Why don't I go somewhere else?
>
> Well, even last year, when I took everything I had and moved
> us to the mountains (away from crowds, no ability to grow food,
> total dependence on the system, etc...), I would not have had the
> resources to move us out of the country.
>
> We are far from being considered wealthy people, just very average
> Americans. I did, at your suggestion, do some research on other parts
> of the world, before deciding to come here. What seemed obvious to
> me is that Americans are not really welcome anywhere on the globe -
> and who can blame the other people for hating us?
>
> Also, I finally decided that 'someone' wiser than I had made the
> choice about where I would be in these very interesting times. (I
> realize that this is a cop-out.)
>
> In the final analysis, I am an American. This is where I belong,
> where I am supposed to be; besides, if we all left, who would there
> be to put things right? America is, indeed, changing - people here
> are ashamed of what's being done by the government.
>
> Oppression is not something we are used to, and the pot is
> boiling. We feel that we are the world's laughingstock. There may
> be very difficult times ahead, but I do not see the 'big boys'
> winning, ultimately.
>
> Thanks to the internet and people like you, many here are finally
> aware - the fabled American spirit may not be dead, after all...
>
> Please keep us in your prayers. We pray for you and all those who
> have been harmed in our name.
>
> Best regards to you all.
>
> On that note here's our Feb. 2006 newswletter issue and an excellent
> article following it for those considering expatriation.
>
> Horror Stories: "My grandparents fled Russia with my father during
> the 1917 revolution and because of the killing of Jews! Unfortunately
> they fled to Germany! I remember clearly the stories my grandmother
> told us as children about the old days. We learned our lessons well.
>
> My mother and father saw the handwriting on the wall in Nazi
> Germany. Fortunately my father had (illegally) stashed away enough
> money in a numbered Swiss bank account, which enabled us to flee to
> South America in the nick of time. He did this even though it was
> a death sentence in Nazi Germany for ANYONE having a bank account
> outside Germany.I recall vividly people having to take a wheelbarrow
> full of old German marks to buy a loaf of bread. They didn't break
> any 'laws' at the time, but they did end up penniless or dead with
> the inflation and eventual collapse of the Mark and the country.
>
> In particular I recall my father begging my aunt, uncle and upstairs
> neighbor Mrs. Rothstein, to flee before it was too late. I recall
> quite well what Mrs. Rothstein (our landlady) said in reply:
> 'Leave? We can't leave. What am I going to do with my mother's
> rocking chair and keepsakes? Our Synagogue and all our friends
> are here.
>
> I was born and married in this house and my parents are buried down
> the road. Our Rabbi says everything will be all right. Leave? How
> can you suggest such things?' I am a German after all!
>
> All of our relatives and friends that didn't pay attention to my
> father's warnings died in the holocaust. They died as result of not
> taking action after seeing clear signs that something was very wrong.
>
> After 15 years in South America we saw many similar government
> policies taking hold and left for the United States. I got married
> and we started a business and did very well for ourselves for more
> than 40 years. We are grateful to America for the opportunity it gave
> us. Our children and grandchildren were born in America and have
> had a great education. Unfortunately we see the very same warning
> signs my parents and grandparents saw before us, now taking hold
> in this once great land. My wife and I are leaving for good. Our
> children aren't, which we feel is a great mistake. Everyone is
> entitled to live their own lives and make their own choices.
>
> You asked what the straw was that broke the camels back in our
> decision to leave? There wasn't any one thing, rather a series
> of events over a long period of time. Being fined by OSHA for a
> dry cleaning business we had just purchased under threat of being
> shut down and losing our entire investment. Then sued by HUD for
> discrimination! Can you imagine that, a Jew discriminating against
> someone? Our insurance company paid the claim though we denied any
> wrong doing and wanted to go to trial to defend ourselves. But the
> insurance company decided (against our wishes) it was less of a
> risk for them to pay, rather than face a possible larger judgment
> by a less than friendly jury. Result? After the insurance company
> settled the lawsuit they dumped us and we had to get insurance at
> 5 times the cost that we previously paid annually!
>
> Then there was the time my wife was denied boarding a flight to visit
> our grandchildren because she didn't have any picture ID with her,
> (she doesn't drive.) We eventually got there but missed our original
> flight because of new 'safety' laws. We were never told prior to
> our flight that this was a requirement even though we booked direct
> with the airline. The airline staff told my wife to go to the motor
> vehicle department and get a state issued ID card with her picture
> and social security number on it for future flights!
>
> Perhaps it is the fact that our neighbors 15 year-old daughter is
> pregnant or that our 7 year-old grandson is checked for guns and
> other weapons while going through a metal detector prior to being
> allowed into school! And of course there is the inevitable run
> in with the IRS. Anyone in America who is successful and makes
> money will 100% for sure have a run in with the IRS. The IRS is
> the closest agency to resemble the Gestapo yet! I know because
> I've dealt with and seen what both can do first hand. I recall one
> particularly nasty audit when the IRS agent asked me if I had a
> foreign bank account. I replied no and the female IRS agent said,
> "That's good because if you do and don't report it, that is a
> serious offence and all your assets will be frozen."
>
> At first my wife and I discussed these and other concerns but for a
> long time we both were in denial. Then one day while I was looking
> for a particular book, I found a letter my grandfather had written
> to my father just before my grandfather died.
>
> He told my father:
>
> 'Never forget that religious and personal freedoms aren't taken away
> all at once. Rather it's done a little at a time so no one sees
> or realizes what's happening. If people are lied to often enough,
> most begin to believe the lie. All of a sudden you wake up and
> realize what you thought was there, isn't any longer. When your
> leaders are liars and cheats, it's time to leave!'
>
> The freedom loving America that we came to and loved no longer
> exists. The freedoms and privacy of 40 years ago are gone
> forever. People don't seem to notice or care anymore. People say;
> America, love it or leave it. Well, we love America but lost faith
> in the people running it so we are leaving those people that run it.
>
> If you feel this letter could benefit just one person, then you
> have my permission to reprint it if you change our name and new
> country of residence."
>
> A Primer for Those Considering Expatriation
>
> A growing number of Americans are frustrated with the way in
> which their economy has been managed and are becoming increasingly
> concerned about future measures the governement may take to keep
> its coffers full.
>
> A question that is arising with increasing frequency is: does
> expatraition offer a viable protection to those concerned about a
> more financially-intrusive US system?
>
> The answer is 'yes', it does offer a completely legal solution for
> ending your obligation to pay US income, captial gains, and gift
> taxes on your worldwide income. But it is certainly not for everyone
> and should only be pursued after lengthy and diligent consideration.
>
> And before you begin dreaming of a tax-free future, you should
> realize that the United States imposes taxes on a broader basis
> than any other country. The United States is one of two countries,
> and is the only major country, that imposes significant income,
> capital gains, gift, and estate taxes on its non-resident citizens.
>
> In virtually all other countries, individuals end their liability to
> pay income tax after a sustained period of non-residence, generally
> one year or longer. But to legally and permanently end U.S. tax
> liability on their worldwide income, U.S. citizens must also give
> up their U.S. citizenship and passport. This process is called
> "expatriation."
>
> Yes, it's a radical step. However, if you're a U.S. citizen,
> you can make nearly all of the preparations for a possible future
> expatriation without permanently leaving the United States. This
> is a four-step process:
>
> * Phase 1. Relocate your assets from the United States to other
> jurisdictions, preferably where the assets won't be taxed.
> * Phase 2. Identify foreign countries where you would consider living,
> * Phase 3. Obtain a suitable second passport
> * Phase 4. Expatriate-give up your U.S. citizenship and passport Once
> you've accomplished the first three phases, summarized here in Part
> I of this report, the final step-expatriation-is much easier than
> if you're starting from scratch. Part II of this report describes
> the expatriation process.
>
> Are you a good candidate for expatriation? You are, if:
>
> * You are comfortable living outside the United States, or are already
> doing so
> * Your spouse and children are comfortable living outside the United
> States, or are already doing so; and
> * You have already or are capable of shifting the majority of your
> income and assets outside the United States.
>
> Phase 1: Relocate Your Assets Outside the United States
> With a few exceptions, the IRC imposes taxes on both U.S. source
> income and foreign source income of U.S. citizens. Non-resident,
> non-U.S. citizens (also known as "non-resident aliens") pay tax
> only on U.S. source income, although some U.S. sources of income
> (e.g., most capital gains) are tax-free.
>
> To prepare for this more favorable tax treatment in anticipation
> of expatriation, begin moving liquid assets outside the United
> States to more tax-friendly jurisdictions. Begin selling assets
> that can't be relocated (e.g., real estate) so that you may reinvest
> the proceeds overseas.
>
> Invest only in countries and investments with which you
> are comfortable. If you are accustomed to buying and selling
> U.S. securities, consider using offshore bank or brokerage accounts
> to target non-U.S. securities. If you are an experienced real
> estate investor, investigate real estate purchases outside the
> United States. Keep in mind that a targeted investment or real
> estate purchase may also qualify you for legal residence in some
> countries (Phase 2) or even a second passport (Phase 3). If you
> have substantial domestic investments in precious metals, consider
> moving the metals offshore.
>
> The vast majority of foreign banks and brokerages now refuse to
> accept new U.S. citizen clients, especially U.S. citizens resident
> in the United States. However, banks and brokerages in a handful
> of countries still accept new U.S. citizen and resident clients and
> allow them to purchase non-U.S. securities. A few banks in Austria,
> the Bahamas, Hong Kong, Liechtenstein, Singapore, and Switzerland are
> suitable for this purpose. The minimum deposits in these banks start
> at $100,000. Minimum deposits in offshore brokerages start around
> $5,000. Fees are much higher for banking services and securities
> trading than in the United States.
>
> Both the accounts you hold offshore and the income derived from them
> must be reported to U.S. authorities. The penalties for failing to
> make these disclosures are draconian. Consult with an expert familiar
> with the tax and reporting rules for international investments when
> you file your annual tax return.
>
> Offshore real estate is a non-reportable asset for U.S. investors
> if owned individually or jointly with your spouse or other
> individuals. Income or gain from foreign real estate investment is
> reportable and taxable. Countries offering first-world infrastructure
> and where real estate is relatively affordable include Argentina,
> Australia, Canada, Chile, Ireland, Mexico, New Zealand, Panama,
> Spain, and Uruguay.
>
> Numerous potential "land mines" exist in offshore real estate
> investments. Among them are the lack of a multiple listing
> service in many countries, difficulty in establishing good title,
> and legal provisions giving squatters the right to live on your
> property. Retain a knowledgeable real estate attorney in the country
> in which you purchase real estate to avoid problems.
>
> You may transport precious metals you own in the United States
> to another country and store the metals in a safety deposit box,
> bank vault, or private vault. One option for doing so is to use a
> secure shipping service. Make certain the service not only promises
> secure transport but also assists with completing non-U.S. customs
> and tax declarations. Another option to transport precious metals
> out of the United States is a like-kind exchange under Sec. 1031
> of the IRC. If you move the metals yourself, the best option can be
> to hire an import agent in the country to which you're taking them
> to handle the import formalities. You will generally post a bond
> through the agent covering taxes due (if any) plus the agent's fee.
>
> Phase 2: Identify Foreign Countries Where You Would Consider Living
> Once you give up U.S. citizenship and passport, you no longer have
> the right to live in the United States. You may generally make
> brief visits, but in most cases, you won't be able to stay more
> than approximately four months annually without becoming subject
> to U.S. tax on your worldwide income based on the IRC's "deemed
> residence" rules discussed in Part II of this report. Finding
> another country to live in is therefore an essential part of any
> expatriation exit strategy.
>
> Even if you have no plan currently to leave the United States
> permanently, finding a country that you may wish to relocate to
> in the future is a prudent safeguard. If economic or political
> conditions deteriorate in the United States and reach your personal
> breaking point, having legal residence in a suitable offshore
> jurisdiction provides a valuable "insurance policy."
>
> If you merely want the right to live in another country in
> the form of a residence permit, but don't necessary want to be
> physically resident there, a number of countries can accommodate
> your needs. These include Belize, Costa Rica, Malta, Mexico,
> the Dutch Caribbean territories, and Panama. In most cases, you
> can qualify for residence (although not the right to work in the
> country) by either making an investment or demonstrating a minimum
> guaranteed pension payment. Residence rights may be purchased in
> some countries by making an investment of $80,000 or more in real
> estate or other assets. A guaranteed pension payment of $1,000
> or more may also qualify you for residence. In other countries,
> you may need to qualify on a points system. Some countries have
> multiple programs to consider.
>
> Phase 3: Obtain a Suitable Second Passport
> To end your responsibility to comply with U.S. tax and
> reporting obligations, you must give up your U.S. citizenship
> and passport. Without a second nationality in place and passport
> in hand, however, giving up your U.S. passport would render you a
> "stateless person." Avoid this status, as it makes it difficult or
> impossible to legally live or travel internationally.
>
> A second passport also conveys numerous other benefits:
>
> * It gives you the right to reside in the country that issued the
> passport, and possibly other countries. For instance, a passport
> from a member of the European Union conveys the right to live and
> work in any other EU country.
> * It gives you a way to travel internationally if your primary
> passport is lost or stolen, or if the issuing government confiscates
> or refuses to renew it.
> * It provides you with the opportunity to travel to countries
> blacklisted by the government that issued your primary passport. For
> U.S. citizens, this includes countries such as Cuba, North Korea,
> etc.
> * It avoids disclosing your primary nationality, should you ever
> need to keep that a secret. This can be useful if you're ever
> confronted by militants who oppose the government that issued your
> primary passport.
>
> You may qualify for a second citizenship and passport by ancestry,
> marriage, religion, or extended residence in another country. If
> not, a handful of countries offer "instant citizenship in return
> for an investment or contribution. The Commonwealth of Dominica
> and the Federation of St. Kitts & Nevis are the only countries
> with an official, legally mandated, economic citizenship. (Note:
> Dominica and the Dominican Republic are different countries.)
>
> Dominica is the least expensive option. The nationality law of
> Dominica authorizes the government to waive the normal requirement
> of seven years of legal residence to acquire citizenship in exchange
> for a cash contribution. Total costs including all fees for a single
> applicant come to about $105,000. Add $25,000 for your spouse and
> up to two children under 18. The Dominican passport holders can
> travel without a visa, or obtain a visa upon entry, to nearly 90
> countries and territories.
>
> The Federation of St. Kitts & Nevis offers two options to obtain
> economic citizenship. One option is to make a direct contribution to
> a charitable foundation set up to support displaced sugar workers:
> the Sugar Industry Diversification Foundation (SIDF). Total costs
> including all fees for a single applicant under this option come
> to about $285,000 or $335,000 for an applicant with up to three
> dependents.
>
> The second option is to purchase "qualifying property" with
> a minimum investment of $400,000. Fees and closing costs add a
> minimum of $100,000. Total costs for a single applicant come to
> at least $500,000 and close to $600,000 for a family of four. The
> St. Kitts & Nevis passport provides visa-free entry, or visa upon
> entry, to more than 120 countries, including nearly all of the 27
> member countries of the European Union.
>
> In all cases, applicants must pass a strict vetting process that
> includes a comprehensive criminal background check.
>
> Bogus second citizenship offerings abound. In recent years,
> I have received offers to purchase passports from Costa Rica,
> Nicaragua, the Dominican Republic, Ireland, and Lithuania, among
> other countries. Some of these offers are outright scams. Others
> involve illegally purchased or stolen documents. Even if you succeed
> in obtaining a passport on this basis, it may be revoked at any
> time and you could be subject to arrest and/or deportation.
>
> Conclusion
> Once you've completed Phases 1, 2, and 3 of your four-step plan
> to disconnect from the United States, you're ready for Phase 4:
> expatriation. While you may never take the final step of giving
> up your U.S. citizenship and passport, taking the preparations
> summarized so far at least gives you that option.
>
> Part II: Important Consequences of Expatriation
> In this second part, we explain:
>
> * The nuts and bolts of expatriation, including the legal process
> of expatriation
> * The tax consequences of expatriation
> * The immigration consequences of expatriation
> * The pros and cons of U.S. investments once you expatriate
> * The tax consequences should you choose to spend more than a few
> months each year in the United States after expatriation
> Expatriation: The Basics
> Once you've obtained a second passport and qualified for residence
> in another country, you can begin the legal process of expatriation.
>
> To do so, you must make an appointment with a U.S. consulate. You
> generally cannot expatriate within the territorial boundaries of the
> United States. The consular officer will explain the consequences
> of expatriation and have you sign some forms.
>
> Two or more appointments may be necessary to complete the process. At
> the end of whatever sequence of visits applies at the consulate
> you choose, you'll then hand in your U.S. passport. Anywhere from
> several weeks to several months later, you'll receive an official
> document called a "Certificate of Loss of Nationality" (CLN). With
> the receipt of this document, you will have officially relinquished
> your U.S. nationality.
>
> The above article on expatriation by Mark Nestmann, Chris_Martenson.com
>
> Until 2014 stay cool and remain low profile!
>
> Merry Christmas and a Happy New Year to all and to all an
> enjoyable holiday season!
>
> Privacy World
>
> PS - If you are serious about obtaining an excellent second
> passport with vast visa free travel ability, and avoid having to
> disclose your primary nationality, here's an extraordinary opportunity
> to obtain, IMO, probably the best second passport on the market, bar none.
>
> With this program you apply for and receive the document at the countries
> embassy nearest you. This is a brand new program that starts January 3rd,
> 2014. To get in on the ground floor before the doors of opportunity
> closes,
> just email for details by placing "New-4-2014" in your email subject
> heading.
>
> Replies with program details will be emailed to all inquirers in
> January 2014 when the program starts.
>
> --
> Best regards,
> Privacy mailto:privacy@privacyworld.com
>
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