[dalke]

To quote mike_hearn's earlier comment "You say this like other countries don't also offer those services. Almost every western country does, and none of them tax their citizens abroad."

I think your argument is a post hoc justification.

Plus, "access to US consulate services" makes no sense. Many if not most Americans living overseas pay no taxes to the US. The complaint is the hassle and expense of filing the paperwork, and the likelihood or at least worry about exorbitant fines.

Finally, who do you think uses those services more - American tourists and business people, or those who live in the country?

Elsewhere leoedin points out that 'The UK embeds the cost of consular protection and embassy services into the renewal cost of a passport - approximately £15 in 2010'. That sounds like it's more equitable, and it shows that consulate services are not expensive. I pay 20x that amount for my accountant to deal with my US taxes, and would gladly play a flat $100 "I live or travel overseas" fee instead.