Thousands of Americans are scrambling to meet the midnight deadline to file their taxes on Monday, but the process is even more complicated for U.S. citizens living overseas. According to the deVere Group, 35 percent of expatriates are likely to misreport on a tax return or file late, which deVere’s CEO Nigel Green attributed to the worldwide rollout of the Foreign Account Tax Compliance Act. “Tax returns have become more complex, onerous and burdensome for American expats due to additional reporting requirements,” Green said. “Overall, a small percentage of taxpayers end up with the dreaded IRS audit. However, the number of international returns that are audited is disproportionately higher.” Overseas Americans also face additional penalties for inaccurate reporting, including having their passports revoked. Green recommends U.S. expats have their taxes reviewed by a professional with cross-border experience to avoid any complications.
Wealthy Families Fight Over Money
Three-quarters of wealthy families are unable to discuss money and inheritance without a misunderstanding or disagreement, according to a nationwide survey by Merrill Lynch’s private banking and investment group. The survey looked at 609 households with at least $3 million in investable assets and found that conflicts tend to arise because individual perspectives across different generations are dismissed, ignored or never communicated. For half of the families, information about money only flowed in one direction, with 14 percent saying decisions are simply made for family members out of a paternalistic desire to be protective. The study also that more than two-thirds of baby boomers consider monetary gifts to be an expression of love while only 50 percent of millennials feel the same, instead viewing monetary gifts as a way for the giver to exert influence.
The Downside of Being Rich in China
Income inequality is perhaps no more apparent anywhere in the world than in China, where the government has become so concerned that it has started banning the children of rich Chinese from appearing on reality television. The move comes in an attempt to “remove minors from the limelight and let them enjoy the childhood they are entitled to,” according to government reports on ShanghaiDaily.com. However, CNBC is reporting that the move is also the result of Wang Sicong, the son of Chinese billionaire Wang Jialin, posting photos on social media of his dog wearing two Apple watches. The youngster also posted comments online that his top criteria for a girlfriend was that she had to be “buxom.” While the government is using its reach to keep such unsavory characters off the regulated airwaves, the new online show “Ultra Rich Asian Girls of Vancouver” has been viewed nearly 1 million times and so far has not caught the eye of government regulators.