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Former U.S. Attorney Joe DiGenova on the island nation’s call to tax expatriated workers who make more than $36,000.
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-- -- Let's hope not only because the gorgeous beaches in the fabulous weather but I says is well known as a tax tape and but just like everywhere else the country's feeling -- fiscal page and some of its wealthy foreign workers.
Are fearing the worst -- tax Cayman Islands prime minister talking that imposing.
Payroll tax on all ex patriot to workers that make more than 36000.
Dollars a year joining me now is former US attorney.
Joseph -- -- thanks for coming back to the show -- Delighted to be here so there are a lot of reasons why I think this is not going to work out number one of which he will go to the caimans to avoid taxes.
Really dedicated to avoiding taxes so I feel like they're sort of not going to sit by.
And get taxed.
Well I think what happen.
And here is this is this is a repeat of the United States.
The Cayman Islands has gotten the government has gotten bigger and bigger and bigger and the premier -- -- -- bush likes that.
And he doesn't want to make the government smaller and he's been told by the British government.
You've got to fix your fiscal problems so what does he decided to do.
To impose the first direct tax in the history of the caimans since -- semi independence.
This is this and he must be channeling Harry Reid -- time there were people in the caimans paying no taxes.
Just be some other smarter way maybe to -- mean maybe you can set up a lemonade stand he could sell some Girl Scout Cookies in front of the capitol.
I mean there's got to be a smarter way to do this he's trying to -- as 67 point five million dollar budget gap.
Is there -- there are shouldn't there are plenty of things they can did they have trillions of dollars in assets.
Which are being held in the Cayman Islands for various investment purposes.
There are tons of things that they could do.
To tap up small percentage of that money.
In the form of fees and licensing fees which is what they do now have but he doesn't want he but he doesn't wanna do that he wants to tax actual people who work for a living.
And come -- for that purpose the difference is he's only taxing ex patriots so it is right totally discriminatory tax.
And it may very well -- yet it may very well -- legally in their courts.
That is I mean it it strikes me that it he might want to think about spending -- us as opposed to well killing the goose that laid the golden egg if -- -- in last -- -- He needs to fire some government workers which is exactly what he has to do in order to fix the problem the problem is not that they don't have enough revenue they have too many government workers in the he has become the employer of last resort.
You meet you could say that about anything having that sounds like -- very familiar sentence there joke -- you so much for joining us tonight we appreciate your time.
Way to keep an eye on this one and see how it turns out on the feeling -- know how it's gonna work out.
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