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Renunciation of Citizenship

Information on the process and implications of voluntarily giving up U.S. citizenship.

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Comprehensive Guide to Renunciation of U.S. Citizenship

Renouncing U.S. citizenship is a significant legal and personal decision with long-term consequences. It involves formally giving up your rights and responsibilities as a U.S. citizen, including the right to live and work in the United States, vote in U.S. elections, and receive U.S. consular protection abroad. Below is a detailed guide to help you understand the process, legal requirements, costs, and implications.

1. Legal Framework for Renunciation of U.S. Citizenship

Renunciation of U.S. citizenship is governed by Section 349(a)(5) of the Immigration and Nationality Act (INA) and 8 U.S. Code § 1481. The process is overseen by the U.S. Department of State and must be carried out voluntarily and with full understanding of the consequences.

Key points:

  • Renunciation is irrevocable except under very limited circumstances.
  • It must be done in person at a U.S. embassy or consulate outside the United States.
  • Renunciation cannot be performed within the United States.

2. Eligibility Requirements

To renounce U.S. citizenship, you must:

  1. Be at least 18 years old.
  2. Be of sound mind (able to understand the consequences of renunciation).
  3. Hold citizenship or legal residency in another country (to avoid becoming stateless).
  4. Appear in person at a U.S. embassy or consulate to complete the process.

3. Step-by-Step Procedure for Renunciation

Step 1: Schedule an Appointment

  • Contact the U.S. embassy or consulate in the country where you reside to schedule an appointment for renunciation.
  • Some embassies may have long wait times, so plan accordingly.

Step 2: Prepare Required Documents

You will need to bring the following:

  • U.S. passport (valid or expired).
  • Certificate of Naturalization or Certificate of Citizenship (if applicable).
  • Social Security Number (if you have one).
  • Proof of citizenship or legal residency in another country (e.g., foreign passport or residency card).
  • Completed Form DS-4079 (Request for Determination of Possible Loss of U.S. Citizenship). This form helps the consular officer assess your intent and understanding of the renunciation process.

Step 3: Attend the Renunciation Appointment

  • Appear in person at the U.S. embassy or consulate.
  • You will be interviewed by a consular officer to confirm that your decision is voluntary and informed.
  • You will sign an Oath of Renunciation (Form DS-4080) and a Statement of Understanding (Form DS-4081).
  • The consular officer will explain the consequences of renunciation, including the loss of U.S. rights and privileges.

Step 4: Pay the Renunciation Fee

  • As of October 2023, the fee for renouncing U.S. citizenship is $2,350. This fee is non-refundable and must be paid at the time of your appointment.

Step 5: Wait for Confirmation

  • After your appointment, the consular officer will forward your renunciation documents to the U.S. Department of State for review and approval.
  • If approved, you will receive a Certificate of Loss of Nationality (CLN), which serves as official proof that you are no longer a U.S. citizen. Processing times can vary but typically take several months.

4. Costs Involved

  • Renunciation Fee: $2,350 (mandatory).
  • Travel Costs: You must travel to a U.S. embassy or consulate outside the United States, which may involve airfare, lodging, and other expenses.
  • Tax Implications: If you are a "covered expatriate" under the Expatriation Tax (Exit Tax) rules, you may owe taxes on your worldwide assets. See Section 5 for details.

5. Tax Implications of Renunciation

Renouncing U.S. citizenship does not automatically absolve you of U.S. tax obligations. The Internal Revenue Service (IRS) has specific rules for individuals who renounce citizenship:

Expatriation Tax (Exit Tax)

  • Applies to individuals classified as "covered expatriates."
  • You are a "covered expatriate" if:
    1. Your average annual net income tax liability for the past 5 years exceeds $190,000 (as of 2023, adjusted annually for inflation).
    2. Your net worth is $2 million or more at the time of renunciation.
    3. You fail to certify compliance with U.S. tax obligations for the 5 years preceding renunciation (via IRS Form 8854).

Filing Requirements

  • File a final U.S. tax return (Form 1040) for the year of renunciation.
  • File Form 8854 (Initial and Annual Expatriation Statement) to report your expatriation and certify tax compliance.

6. Consequences of Renunciation

Renouncing U.S. citizenship has significant legal, financial, and personal implications:

Loss of Rights

  • You lose the right to live, work, or vote in the United States.
  • You lose access to U.S. consular protection abroad, except in emergencies.

Travel Restrictions

  • You must apply for a visa or ESTA (Electronic System for Travel Authorization) to visit the United States.
  • Renunciation does not guarantee visa approval, especially if you owe taxes or have other legal issues.

Impact on Family

  • Minor children cannot renounce citizenship until they reach 18 years of age.
  • If you have U.S.-citizen children, they retain their citizenship unless they choose to renounce it later.

Statelessness

  • Renouncing U.S. citizenship without holding another nationality can render you stateless, leaving you without legal protection or the ability to travel internationally.

7. Country-Specific Considerations

  • Dual Citizenship: Some countries do not allow dual citizenship. If you are a dual citizen, check whether your other country of citizenship permits you to retain your nationality after renouncing U.S. citizenship.
  • Tax Treaties: Certain countries have tax treaties with the United States that may affect your tax obligations after renunciation.
  • Military Service: If you are a dual citizen, renouncing U.S. citizenship may affect your obligations to serve in the military of your other country of citizenship.

8. Alternatives to Renunciation

If you are considering renunciation due to tax or legal concerns, explore these alternatives:

  • Relinquishment: If you have voluntarily performed an expatriating act (e.g., becoming a naturalized citizen of another country), you may be eligible to relinquish U.S. citizenship without formally renouncing it.
  • Green Card Surrender: If you are a lawful permanent resident (green card holder), you can surrender your green card (Form I-407) instead of renouncing citizenship.

9. Final Considerations

Renouncing U.S. citizenship is a personal decision that should not be taken lightly. Before proceeding:

  • Consult with an immigration attorney and a tax professional to fully understand the legal and financial implications.
  • Consider the impact on your family, travel, and future opportunities.

10. Resources

By following this guide and seeking professional advice, you can navigate the renunciation process with clarity and confidence.