Welcome to DU! The truly grassroots left-of-center political community where regular people, not algorithms, drive the discussions and set the standards. Join the community: Create a free account Support DU (and get rid of ads!): Become a Star Member Latest Breaking News General Discussion The DU Lounge All Forums Issue Forums Culture Forums Alliance Forums Region Forums Support Forums Help & Search

alp227

(32,037 posts)
Fri Sep 14, 2012, 08:19 PM Sep 2012

Ever heard right wingers spreading the story of Johnny Depp leaving France due to taxes?

Last edited Fri Sep 14, 2012, 09:11 PM - Edit history (3)

A conservative friend posted on Facebook the story about Johnny Depp leaving France over the new French tax rate to call Depp a liberal Hollywood hypocrite. It's an old story from Nov. 2011 that now has more attention this month because Daniel J. Mitchell, finance columnist at townhall.com brought it up. From a profile of Depp in The Guardian:


What? Hang on a minute; why did he leave France? He makes a sour noise, part grunt, part hurrumph. "Cos France wanted a piece of me. They wanted me to become a permanent resident. Permanent residency status – which changes everything. They just want," and he mimes peeling off notes in his palm. "Dough. Money."

If Depp spends more than 183 days in France, he explains indignantly, he'd have to start paying income tax. "I'm certainly not ready to give up my American citizenship. You don't have to give up your American citizenship," he adds sarcastically, but then he'd have to pay tax in both countries, "so you essentially work for free."

And all of a sudden, he sounds exactly like your average corporate Middle America multimillionaire – anti-government, anti-tax and apparently oblivious to the part these twin monstrous affronts might play in creating a country where he doesn't have to worry about being mugged by crack dealers on every street.


One commenter at the Guardian website wrote:

Depp is not unreasonable to complain about the potential taxation situation. He genuinely would end up paying almost his entire income in tax if he became a French resident. This is because America, unlike any sane country, demands all its citizens pay US income tax wherever in the world they live or work. And in Depp's case the income concerned would be high enough that they'd keep track. So he can't avoid paying US taxes – and French taxes on top would genuinely take care of most or even all of the rest. Indeed, I could imagine he might end up with tax liabilities higher than his gross income.


(comment redacted, due to correction below)

How would you respond to this new RW talking point? I would say it's his own choice not to be a permanent resident of France as he divides his time between the US, France, and wherever else he owns property.
13 replies = new reply since forum marked as read
Highlight: NoneDon't highlight anything 5 newestHighlight 5 most recent replies

dems_rightnow

(1,956 posts)
1. No it wouldn't be over 100%, nor could it
Fri Sep 14, 2012, 08:33 PM
Sep 2012

When you pay taxes in a foreign country, the US gives you a tax credit on Form 1116. God..........

 

loli phabay

(5,580 posts)
11. good to know, i think i would probuably give up my US citizen if i moved to europe and had to pay US
Fri Sep 14, 2012, 10:07 PM
Sep 2012

taxes, when i retire i probuably wouldnt bother to much to renounce it.

 

jenw2

(374 posts)
3. Of course after deductions and write-offs that the rich here get...
Fri Sep 14, 2012, 09:07 PM
Sep 2012

he'd end-up paying nothing.

I don't understand why someone here is defending the fact that the rich pay almost nothing.

MrScorpio

(73,631 posts)
5. Didn't he break up with his long time French GF, Vanessa Paradis?
Fri Sep 14, 2012, 09:12 PM
Sep 2012

Why can't that be the main reason he's leaving France?

Honeycombe8

(37,648 posts)
7. #1-Depp has owned an island in the Bahamas since 2004.
Fri Sep 14, 2012, 09:51 PM
Sep 2012

#2 - Depp has owned a castle in L.A. since 1995. He may own more houses there.

#3 - He owns a mansion in Venice.

#4 - He owns a vineyard and mansion in the south of France.

#5 - He may or may not still have a home in Paris.

#6 - His kids go to school in America. His parents and siblings live in America.

#7 - He is an American citizen.

#8 - He is mega-famous and has a gentle nature. He said he likes to live away from the hoopla, papparazzi, and violence.

#9 - It doesn't make him conservative or greedy not to want to pay taxes in two countries. Who would want to do that? That's stupid.

#10 - He is apparently content with paying the low American taxes and is not out fighting to prevent his American taxes from going up.

#11 - He could simply give up his American citizenship and pay just France's taxes. But as he said, he's not ready to give up his American citizenship.

It's like taking the mortgage deduction on your taxes. It's not conservative or greedy to take it. It would be stupid not to.

Paying your fair share but not wanting to pay double is very different from not wanting to pay your fair share in a reasonable progressive tax country, such as in America.

 

truebluegreen

(9,033 posts)
12. I agreed with almost everything you said
Wed Mar 19, 2014, 10:51 PM
Mar 2014

until you characterized America as a "reasonable progressive tax country." We're not. Given the intricacies of the tax code, the system is regressive.

Cicada

(4,533 posts)
8. US would let Depp reduce US tax by French tax
Fri Sep 14, 2012, 09:51 PM
Sep 2012

Depp probably would get a full US credit - the foreign tax credit - for French tax on doubly-taxed income.
So his US tax on such doubly taxed income would be zero. But I think France does plan a 75% french tax. There IS a point where the Laffer curve kicks in and this may be the point.

burrowowl

(17,641 posts)
9. Usually income earned in France would
Fri Sep 14, 2012, 10:03 PM
Sep 2012

be taxed by France and the US by the US. However the US has a 184 day thing and could tax the French income

 

truebluegreen

(9,033 posts)
13. The US allows expats to exempt the first--I think--$95,000 in income per year
Wed Mar 19, 2014, 10:57 PM
Mar 2014

earned from foreign sources (provided local taxes are paid), the remainder of that income plus everything earned in the US would be subject to US taxes--whether or not one spent time in the US. The US is perhaps the only country to tax income by country of origin (yours, not the income) rather than country of residence.

Latest Discussions»General Discussion»Ever heard right wingers ...