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Are More Wealthy People Giving Up The U.S. Passport To Avoid Taxes?

Filed under: Wealth

passportCould the wealthiest people in the U.S. really giving be giving up their citizenship to save money on taxes? Wealth Bulletin has a report that says that some wealthy Americans who live abroad are so determined to shed the yoke of American taxation that they are willing to surrender their U.S. passports. The U.S. tax laws require those living outside the U.S. to continue to pay taxes on worldwide income no matter where they live.

Those who do choose to leave will be subject to something known as the exit tax. The exit tax affects both US citizens who expatriate and long-term US permanent residents who give up their green cards which they have held for eight of the last 15 years. Those who qualify for the exit tax have a net worth of over $2 million and an average net U.S. income tax liability of greater than $139,000 for the five year period prior to expatriation. Those who want to leave pay a one-time tax on gains over $600,000. Isla Offshore Advisor has more of the salient details including the fact that the tax is due 90 days after giving up your citizenship. Right now, when just about everyone's net worth is lower it is seeming like an opportune time for many to take the leap.

Wealth Bulletin quotes Jay Krause, a partner at private-client specialist law firm Withers who says he's seen a rise in those interested in expatriation lately. This number may increase in the wake of a crackdown on clients of UBS AG. The Wall Street Journal reports that lawyers representing UBS clients think that the bank will reveal names associated with 5,000 to 10,000 accounts.

Wealth Bulletin paints a dramatic picture in which the ultra-wealthy elude possible taxes by staying on their yachts and cruising outside coastal waters. Just how many of these yacht-borne rich renegades are there? It is estimated that there could be a few thousand of them keeping trillions of dollars away from global tax authorities. Those who decide to pay the U.S. exit tax would then become former U.S. citizens and would be able to travel to the U.S. without facing more taxes. Around 90 people gave up their citizenship in the first half of 2009 so lets not call this a mass exodus yet.

[Thanks, Ben!]

License Plate Map

Filed under: Decor, Art


This interesting piece of art work is exactly what it looks like: a bunch of real license plates cut into the shapes of their corresponding state and put together to form a map of the United States -- Alaska and Hawaii included. It's not only an interesting piece of artwork to display but also a nice way to recycle old plates. Created by artist Aaron Foster, this Reclaimed License Plate Map is made by hand in California and mounted on a large cedar plank (with smaller separate boards for AK and HI). I think it would look great in a library or study. $3900

Forbes Most Expensive US Homes 2006

Filed under: Estates

Forbes Magazine just released their picks of the most expensive homes in the US for 2006. The real estate market may be slowing somewhat, but that fact didn't stop the average price of a home on this list from jumping up to $71 million from $58 million. In a change from last year's list, the $75 million asking price of the top home from 2005 - the Three Ponds, in Bridgehampton - was surpassed by two houses: Donald Trump's Maison de L'Amitie in Florida, with an asking price of $125 million, and the Portabello Estate in California, also listed at $75 million. Other picks include Martin Zweig's apartment and a limestone mansion in San Francisco.

Top 100 Hotel Restaurants

Filed under: Dining

The French Room at the
Adolphus HotelUsing decor and service, as well as food quality and taste, the Zagat guide has compiled a list of the 100 best restaurants found in hotels across the United States. Most of these hotels use their restaurant not as money making ventures, but as a way of enhancing the reputation of the hotel, giving it an added layer of luxury by offering some of the finest dining in their city. Looking at the whole list, twenty of the top restaurants are in California and thirteen are in Massachusetts, followed by Nevada , Texas and Florida, with eleven, eight and six, respectively. The Bellagio Hotel in Las Vegas actually has four restaurants on the list. Most of these fine dining experiences come with a high price tags, but the outstanding service, ambiance and, of course, the food, are well worth it. The full list is available here, but these are the top ten:

  1. The French Room at The Adolphus Hotel, Dallas, TX
  2. Fountain Restaurant at the Four Seasons Hotel, Philadelphia, PA
  3. Dining Room at the Little Palm Island Resort, Little Torch Key, FL
  4. Inn at Little Washington at The Inn at Little Washington, Washington, VA
  5. Maestro at the Ritz-Carlton Tysons Corner, McLean, VA
  6. Hampton's at the Harbor Court Hotel, Baltimore, MD
  7. Aujourd'hui at the Four Seasons Hotel, Boston, MA
  8. La Mer at the Halekulani Hotel, Honolulu, HI
  9. Dining Room at the Ritz-Carlton Buckhead , Atlanta, GA
  10. Picasso at the Bellagio Hotel, Las Vegas, NV

Most Expensive US Hotel Rooms

Filed under: Journeys

Setai penthouseHotel prices are rising so quickly that it's a wonder anyone can keep up with them. The situation isn't helped by the fact that everyone ones to be the one to offer the most expensive, most luxurious suite possible. The average hotel room costs around $90 per night and that number increases every year. Some hotels, of course, are simply not equipped to offer $25,000 per night rooms, but it won't be long before the benchmark set by the Atlantis is surpassed. In fact, rumor has it that New York's Four Seasons Hotel is about to offer a room for $30,000 per night.

Forbes has the newest list of the US's most expensive hotel rooms. Starting at $10,000 per night, these super suites offer a super stay to celebrities and business people every day of the year. The highest priced suites include:

The Penthouse at The Setai in Miami costs $25,000 per night. It includes a personal butler, Andrew Marston, who used to supervise the Buckingham Palace staff. The suite also has four bedrooms, two of which are master suites, and twin living rooms.

 

US World Cup Team to Stay in Hamburg

Filed under: Journeys

While the German team stays in Berlin, the US World Cup Team has made arrangements to stay at the Park Hyatt Hotel in Hamburg, Germany. The hotel is located in the center of the city and, while not having quite the same historical significance of the Schlosshotel Berlin, it is hardly lacking. The 282-room hotel occupies the top floors of the Levantehaus building, an old but historic warehouse that has been stripped and luxuriously finished. Ultramodern with a hint of old-fashioned charm in its decor, the rooms are largely minimalist. It offers all the usual amenities found in modern hotels, including high speed internet and satellite television, as well as an indoor pool and health club.

The largest room at the Hyatt is the Presidential Suite. At 1,500-square feet, the suite offers views of the city from the living room and, in addition to the highly detailed decor throughout the suite, a marble bath with a waterfall shower. Access to a private concierge is also provided.



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