Did you know?
The United States is one of the only countries in the world to tax based on citizenship instead of residency. This means that no matter where you live in the world, if you’re a US citizen, you have yearly IRS reporting and filing obligations. For those who no longer have ties to the US, have made a permanent home elsewhere, or haven’t lived there since birth, this can be anything from a chronic annoyance to a significant ongoing cost. Worse yet, US citizenship passes from a parent to child automatically in certain cases, so many don’t even realise they’re US citizens in the first place. These people are referred to as “Accidental Americans,” and have the same reporting and filing obligations as every other US citizen.
Fortunately, renouncing your US citizenships provides a legal and safe way out.
Renouncing your US citizenship is a big decision and it’s not right for everybody. For those who no longer benefit from having US citizenship and are left with only the costs and obligations, it can be enormously beneficial.
Our team of US lawyers represent more than 500 US citizens renouncing their US citizenship every year. If renunciation is something you’ve been considering, then attend our free webinar and get advice you can trust.
Our free webinar covers the following topics of interest:
- Common reasons why US citizens living abroad renounce their US citizenship
- How to know if renouncing your US citizenship is the right decision for you
- The pros and cons of renouncing and whether the benefits of US citizenship outweigh the costs
- What happens if you haven’t filed US tax returns and are identified as a US person by your bank
- What is an “Accidental American” and how to determine if you or a family member may be one
- IRS filing and reporting obligations for those who have/had a US green card
- Your relationship with the US after renouncing your citizenship
- How to avoid common pitfalls like the US exit tax or becoming barred from entry to the US
- How to renounce the right way and ensure the best possible outcome for you and your family
Frequently Asked Questions:
How do I know if renouncing my US citizenship is right for me?
Only you can know what’s best for you and your family, but we’re here to provide you with all the information you need to make an educated decision that is truly in your best interest.
Is renouncing US citizenship common?
More so than you might think. Thousands of people renounce every year and 2020 numbers set a record high. The list of people who have renounced include high profile individuals as well, such as Boris Johnson (Prime Minister of the United Kingdom), Eduardo Saverin (Co-Founder of Facebook), and Tina Turner (Singer).
Is renouncing US citizenship a political decision?
Generally, no. Renunciation is often financially motivated, as all citizens with ties to the US (regardless of where in the world they live) are required to meet IRS reporting and filing obligations, which can come with a heavy cost.
What is an “Accidental American”?
Children born outside the United States to a US parent who lived in the US long enough, and individuals born in the US but who haven’t lived there since infancy, are US citizens regardless of where they live now. These citizens are still required to meet IRS reporting and filing obligations.
Who all may be required to meet IRS reporting and filing obligations?
- US citizens or green card holders living outside the United States (regardless of time spent outside the US).
- Any individual with US parents who lived in the US long enough.
- Any individual born in the United States, regardless of how long they lived there.
How much does it cost to maintain my US citizenship?
All US citizens are subject to the costs of annual filing, along with the potential costs of double taxation, US estate and gift tax, and more.
Is there a “right way” to renounce?
Yes. It’s essential to have professional guidance to avoid potential pitfalls of renunciation, such as the US Exit Tax, or becoming barred from visiting the US.