How to Expatriate/Renounce US Citizenship in 5 Steps

Typically, clients come to AVA Global with the goal of obtaining US citizenship; however, sometimes people want information on how to renunciate. Renouncing US Citizenship is a monumental decision that can have dire personal, legal and financial consequences. For that reason, we highly recommend that you seek out the advice of a US tax attorney and a US immigration attorney. If you are interested in the immigration steps, then we will provide you with an overview to help you understand how to renounce your US citizenship.

What Does Renunciate Mean?

If a U.S. citizen wants to voluntarily give up their citizenship, including the rights and responsibilities associated with it, then they need to go through a formal process of Renunciating U.S. Citizenship. This is a legal process and is irrevocable, meaning once you renounce, it cannot be undone.

Why Renunciate?

Our clients choose to renounce their U.S. citizenship for a variety of reasons, including:

• Financial Burdens: Although one should not renunciate for tax purposes alone, there can be significant financial burdens of a US citizen living abroad. Due to strict US laws in banking regulations, some US citizens find it difficult to open a foreign bank account or participate in foreign investments.
• Dual Citizenship Conflicts: Some countries do not allow citizens to have dual citizenship.
• Cultural Choices: A person may have strong personal or family ties to a country, making it make sense for them to give up their U.S. citizenship.

Legal Requirements and Procedures

Section 349(a)(5) of the Immigration and Nationality Act (INA) governs U.S. citizenship renunciations. The INA requires that the individual seeking to renunciate to appear in person before a U.S. consular or diplomatic officer in a foreign country (normally at a U.S. Embassy or Consulate) to sign an oath of renunciation.

Step 1: General Eligibility

To renounce your U.S. citizenship, you must:

1. Be at least 18 years old: Minors are generally not allowed to renounce their citizenship.
2. Possess citizenship in another country: Renouncing U.S. citizenship should not render you stateless.
3. Understand the implications: You must fully comprehend the consequences of renouncing, including the potential loss of U.S. benefits and privileges.

Step 2: Schedule an Appointment

Contact the U.S. Embassy or Consulate in the country where you reside to schedule an appointment for the renunciation. Consular services are often in high demand, so it is advisable to book well in advance.

Step 3: Prepare Required Documentation

Gather all necessary documents, which typically include:

• Proof of U.S. citizenship: A valid U.S. passport, Certificate of Naturalization, or Consular Report of Birth Abroad.
• Evidence of another citizenship: Passport or citizenship certificate from another country.
• Form DS-4079: Request for Determination of Possible Loss of U.S. Citizenship.
• Form DS-4080: Oath/Affirmation of Renunciation of Nationality of the United States.
• Form DS-4081: Statement of Understanding.

Step 4: Attend the Appointment

During the appointment, you will:

• Provide documents and forms: Submit all required paperwork to the consular officer.
• Swear the Oath of Renunciation: Officially declare your intention to renounce U.S. citizenship.
• Pay the renunciation fee: As of 2024, the fee for renunciation is $2,350, although US government fees are subject to change.

Step 5: Await Certificate of Loss of Nationality (CLN)

After your appointment, your case will be reviewed, and if approved, you will receive a Certificate of Loss of Nationality (CLN). This document serves as official proof that you have renounced your U.S. citizenship.

Potential Consequences

Renouncing U.S. citizenship carries several potential consequences:

• Tax Obligations: You may still owe U.S. taxes up to the date of renunciation and potentially face an exit tax.  AVA Global highly recommends that anyone interested in renunciating their US citizenship first speak with a licensed tax attorney before initiating the renunciation process.
• Loss of Benefits: Renunciation may result in the loss of U.S. government benefits, including Social Security.
• Visa Requirements: Former citizens will typically need an ESTA or other nonimmigrant visa such as a B2 tourist visa to visit the United States.

Renunciating U.S. citizenship is a profound decision requiring careful consideration and professional guidance. The US immigration attorneys at AVA Global are here to provide you with the expertise and support needed to navigate this intricate process. If you are contemplating renunciation or need assistance with the legal aspects involved, contact us today to schedule a consultation.

Please note that this information is provided for general information purposes only and is not legal advice. Engaging with this post does not create an attorney/client relationship.

Current as of June 5, 2024