Prince Harry and Meghan Markle's hurried move to Los Angeles along with their 10-month-old son Archie Harrison recently is reportedly due to financial reasons. The British royal and the former Hollywood actress don't want to pay tax in two countries. The couple took a private jet to California just before US President Donald Trump closed the US-Canada border due to the coronavirus pandemic.
According to The Sun, the Duke and Duchess of Sussex have left Vancouver Island in Canada for good. The couple have settled down in Los Angeles, California where Meghan Markle's mother Doria Ragland is based. However,
US insiders close to the couple say the move is because of financial reasons.
Prince Harry and Meghan Markle's entire team of agents, PRs, they have hired to launch their new careers are based in LA. Earlier there have been reports of the former "Suits" actress wanting to go back to Hollywood. The couple's exact whereabouts is not known, but it has been reported they are 'locking down' in an exclusive gated community in LA.
"Initially Harry and Meghan wanted to be based in a Commonwealth country —Canada — and earn their own money while still performing some royal duties.
But their plan very quickly fell apart. They were told getting work visas in Canada would be difficult and because Meghan remains a US citizen — so is taxed on her worldwide income — she would end up paying in the US and Canada," a source said.
"Then the Canadian government made it clear they would not contribute to their security costs so it made much more sense to live in Hollywood and only pay US tax," the insider added.
Experts have revealed that Meghan would have to report self-employment income from sponsored social media posts or merchandise sale. She is also required to pay a 15.3 per cent levy to cover taxes on social security and medicare. This apart, the duchess will also need to meet disclosure requirements to the US Internal Revenue Service on any foreign bank accounts.
Harry and Meghan want to launch a billion-pound business, but Meghan would have only been able to exclude around £90,000 a year from tax.
In a related development, Page Six reports that the couple have poached atop staffer of Bill and Melinda Gates. It has been revealed that Harry and Meghan have hired Catherine St-Laurent as chief of staff and executive director of their yet unnamed charity.
St-Laurent, is currently director at Pivotal Ventures, Melinda Gates' women and families foundation. She has been the strategy lead for Melinda Gates. "After nearly 9 years alongside Melinda and the Gates Foundation and Pivotal Ventures teams, I am moving on to begin a new chapter and wanted to make sure to share my contact info so we can stay in touch," she said in an email to colleagues and friends that was obtained by the publication.
"Beginning next week I will be acting as Chief of Staff and Executive Director of the new non-profit enterprise for Meghan M and Harry. They are embarking on a new chapter themselves and I am thrilled to be able to play a supporting role in realizing their vision and enabling them to achieve impact on the issues that matter most to them," St-Laurent writes.