Not such a big deal. The point is, if you're overseas and have no plans on returning to the US, then there is the option to renounce if you have means to stay in another country. The filing and tax headache is not worth it if you have no plans on going back. If you're self-employed in another country, you're also liable for the SE tax if you are in a country that doesn't have a treaty with the US. Not worth it at all if you're not planning on living in the US in the future.
Few renounce unless they have the wherewithal to do so (financially, etc). Of those coming in...well, let's just say they are more likely "mouths to feed" and not bread winners.
You're not getting it. The last year I was in Russia (2006) the amount of people paying the income tax (even though it was flat at 13%) was just a tad over 50%. That mean that almost half of the people employed was avoiding the tax because of pay structure. All of the expats I knew save two - two because they worked for multi nationals and were only there for a few years - and all of the Russians I knew except for those I paid (again, multi national) were being paid "black" salaries. My wife is a perfect example. For her, her "white" salary was put at $200 a month. But she really got $4,000 a month. the amount of people working under the table (black salary) in the states is less than 1%.
it's all good and may work for someone without relatives in US.you don't have to explain the 'benefits' to me. i have both. russian and us.
If you have russian citizenship, then why the hell are you making me explain the black and white salaries or the tax structure to you? You just want to waste my time, durok?