Will Seasteads be able to offer passports? And what would I do with my current citizenship?
Since we are not initially seeking de jure sovereignty, early seasteads will not issue passports. This will not be a problem for most people, as most governments do not regulate or tax citizens living abroad. Americans are an exception. They get $95K in wages tax-free, while investment income, capital gains, and earned income above the $95K threshold is subject to US taxes. Americans may therefore wish to obtain a second citizenship, which will allow them to renounce their US citizenship (paying a one-time exit tax on unrealized capital gains over $600K). They can do this using the existing international market for citizenship, which costs $100K-$250K. So those earning less than $95K can retain their US citizenship without penalty, while those earning significantly more will be able to buy a new citizenship. For those earning a bit over the threshold, buying a new citizenship will be expensive and paying taxes may be the best option.
Posted in: Autonomy and Sustainability
Posted on January 20, 2012 at 2:04 am