Facebook’s IPO has been huge news since almost a year now. Finally, on May 17, it is going public. Just at this right moment, Eduardo Saverin, the co-founder of the social network, wants to avoid being hurled high amounts of tax bills. For this reason, he is renouncing his U.S. citizenship and has decided to settle down in Singapore instead where he holds residency.
Mark Zuckerberg though cannot give up his citizenship, though he still has an option of shifting to Israel permanently being a Jew. But Zuckerberg is willing to pay the U.S. Treasury from the earnings he will get out of Facebook’s IPO. However, for Saverin, it is not an option he is willing to choose. He is not even thinking of going back to Brazil, not under the current circumstances in the country, which would mean nothing different. Singapore does not has any capital gain taxes policy.
Taxes in the U.S. are one thing most people don’t think about when they run to the land of dreams, and during Obama’s administration of hope and change. Aside from these idealistic tones, the real hues of which no American has yet seen in this century, Saverin did achieve his part of the American dream and made wealth from his potentiate idea of Facebook through Harvard’s dorm room in 2004.
Not considering the extent of role he played in that, he now is leaving the country with $3.4 billion having it all by his own. In 2011, the U.S. government’s own reports indicate around 1,280 people left the country for good. And this number is increasing!