Friday, May 11, 2012

A Facebook Founder Renounces His U.S. Citizenship

Eduardo Saverin, one of the founders of Facebook, officially defriended the United States in September, giving up his American citizenship for the more tax-friendly residency status of Singapore.

Mr. Saverin, who was born in Brazil and has lived in Singapore since 2010, plans to remain in the Asian island nation indefinitely. Singapore has a maximum personal income tax rate of 20 percent and no taxes on capital gains. He gained American citizenship in 1998.

A spokesman for Mr. Saverin insisted his client did not renounce his citizenship for financial reasons. “I have worked with him for over a year, and that never came up,” said Tom Goodman, the spokesman. “Obviously, it was a big decision, but he’s making all these investments in Europe, Asia and the U.S. It just seemed a lot simpler.”
Read the rest here.


Matthew said...

One thing I don't understand is why is Facebook valued so much? It doesn't produce anything. I don't click any of the ads on its site.

CJ said...

Exactly. That's why the IPO is stalled. There are a good number of analysts who think it's a bad investment.

John, I don't know if you read libertarian Karl Denninger's Market Ticker blog, but he posts on economic and political issues from a libertarian perspective.