I mean what is the objective? Raise tax revenue from ex-pats, or drive them out of US citizenship? What's actually happening seems to be the latter, not so much the former. Surely that's a serious policy failure.
And that’s for the simple scenario of someone actually living in the US.
But is also is another issue altogether. How US citizens can bear with this and the lobbying that spawned it is beyond me.
As you say, it's more complex income sources and potentially deductions that lead to big accountant bills.
And you mention 1099s, i.e. self employed. Well, if you run a sole proprietorship as an expat, you still have to file US self-employment tax forms, and there are also QUARTERLY filing requirements with penalties for non-filing.
Or you need to get the paper certifying that your country has a totalization agreement with the US (not all do).
And since 1099 isn't a thing in EU, you have to file the US 'small business' tax form, which is actually 3-5 forms.
so as an expat, even what should be very straight forward turns into a massive mess.
Most of my knowledge of it comes from all the threads about Intuit's and H&R Block's lobbying regarding what IRS could and could not do to simplify tax filling.
If you don’t me asking. If it is as straightforward, what actually is the point in said lobbying?