Comment Re:What is the goal? (Score 1) 1799
You are 100% wrong. I have lived abroad, and know this from personal experience. But don't take my word for it, ask the IRS:
If you are a U.S. citizen or resident alien, the rules for filing income, estate, and gift tax returns and paying estimated tax are generally the same whether you are in the United States or abroad. Your worldwide income is subject to U.S. income tax, regardless of where you reside.
What you're missing is that, since US income tax rates are so ridiculously low, your foreign income tax credit is going to nearly or completely wipe out any income tax you might have otherwise owed to the IRS, especially if you live in a civilized country with social services paid for by income taxes. It's a pain to file a form saying you don't owe any money just because you happen to have been born in the US, and that overhead isn't really free, but it's a far cry from being double taxed. If you paid taxes overseas and paid the IRS, you were almost certainly doing something wrong.
Ian