WHY YOU WANT TO RENOUNCE YOUR AMERICAN NATIONALITY

 & 

HOW TO DO IT

 “America is for Americans and Americans only.” 

-Stephen Miller at a campaign rally last year. 

Renunciation- the act of voluntarily giving up one’s citizenship of a nation- is a major and irreversible decision to make, though thousands yearly make this choice. It is a lengthy and potentially costly process, may not be approved, and could lead to difficulties going forward if not planned out well. (Ayata)

A survey conducted in 2023 showed one in five expats of the US (20%) were considering or planning to renounce their citizenship. Most are due to the complexities and headaches known to surround the US tax system and its’ laws. As of May 15, 2023, a total of 5,315 US citizens have renounced their citizenship, a sharp increase from the 2,390 who renounced in 2022. (Marino JD, LLM)

Another survey conducted in February 2024 polled about 1,000 American expats and found nearly a third are planning or seriously considering renouncing their citizenship. The top reason why they are considering this route is the burden of US income taxes when they are filing abroad- they may have to file taxes in two countries each year on wages, profits from businesses, investment income, and potentially more. (CFP®)

One problem with renouncing besides the fact that it may not be accepted is that you may still need to pay taxes if you have any US-based income, such as withdrawing from an IRA or 401(k).

Asylum seekers from the US number in the 

Ayata, Büşra Türkmen. “How to Renounce US Citizenship: The Ultimate Guide.” Get Golden Visa, 12 Dec. 2023, https://getgoldenvisa.com/renounce-us-citizenship.

CFP®, Kate Dore. “This Key Issue Has 1 in 3 Expats ‘seriously Considering’ or Planning to Renounce U.S. Citizenship.” CNBC, 19 Mar. 2024, https://www.cnbc.com/2024/03/19/heres-why-some-american-expats-want-to-renounce-us-citizenship.html.

Marino JD, LLM, Alexander (US. “Looking to Make 2024 Your Last Filing Year for US Taxes? Here’s What You Need to Do.” Moodys Private Client, 29 Dec. 2023, https://moodysprivateclient.com/looking-to-make-2024-your-last-filing-year-for-us-taxes-heres-what-you-need-to-do/.

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According to a report by The Washington Post, between 5,000 and 6,000 Americans renounce their citizenship each year. Historically, these decisions have been driven by burdensome tax reporting requirements and logistical issues tied to the U.S.'s unique tax laws.

But lawyers and expatriates now say politics—especially polarizing leadership and partisan conflict—is becoming a central driver.

Looking at the broader trend, it’s clear this is not a temporary anomaly. The increase correlates closely with the implementation of FATCA in 2010. Detailed tax data supports the view that FATCA and related banking restrictions were primary drivers, not just background noise.

In short, this sharp and sustained growth in renunciations reflects systemic changes in how U.S. citizenship is experienced — particularly by Americans abroad — not random fluctuations or improved reporting.

 According to denaturalization scholar Patrick Weil, more than 22,000 Americans had their citizenship revoked during the 20th century, which is more than in any other democracy. 

    in United States v. Wong Kim Ark that the Constitution does not give Congress the authority to forcibly deprive a naturalized American of citizenship: The 14th Amendment protects “every citizen of this Nation against a congressional forcible destruction of his citizenship, whatever his creed, color, or race.” 

 In 1824, the Supreme Court held that a naturalized citizen is “a member of the society, possessing all the rights of a native citizen, and standing, in the view of the Constitution, on the footing of a native.” 

Renouncing U.S. citizenship is not a new phenomenon, but the scale and motivations behind it have shifted significantly over time.

Before 2009, renunciations remained relatively low, with approximately 200 to 400 formal cases each year, according to State Department data. These figures are generally viewed as the baseline prior to the modern surge in renunciations.

 From 2009 onward, renunciations began to rise sharply, 

Once considered a rare and symbolic act, renouncing U.S. citizenship has become increasingly common — and, for many Americans living abroad, a practical decision. A new Boundless report reveals that annual renunciations have surged from an average of just 200–400 cases before 2009 to a record high of 6,705 in 2020, with numbers remaining elevated ever since.

The primary drivers of rising U.S. citizenship renunciations are complex international tax laws and foreign banking restrictions, but other factors also play a role in the growing trend.

• Renunciation Data Delays: Official U.S. renunciation statistics are typically published 12 to 18 months after the fact due to administrative processing and agency cross-referencing. This means data released in 2025 will mostly reflect renunciations from 2023 or early 2024. As a result, any shift in renunciation numbers during Trump’s first year back in office likely won’t be visible in the public record until 2026.
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For many Americans living abroad, renouncing U.S. citizenship is less about politics and more about avoiding burdensome tax and banking rules. As more people live and work across borders, the U.S. may need to reevaluate whether its policies support or hinder the lives of its citizens overseas.

• Estimated annual numbers: Approximately 5,000 to 6,000 Americans have renounced their citizenship each year since 2017.
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• Estimates of U.S. citizens living abroad vary significantly, ranging from approximately 4.4 million to 9 million. 

Since the Trump administration returned to office in January 2025, it claims over 2 million people have left the country, including an estimated 1.6 million who self-deported and more than 400,000 who were deported. Other sources report approximately 200,000 deportations through July 2025, with figures varying based on the specific time frame and the types of removals included

the wake of Donald Trump’s 2024 election victory, many US expats are taking a hard look at their American citizenship—and deciding that renunciation may be their best option. According to a recent CBC News article, US consulates in Canada have seen a surge in inquiries from American expats looking to cut ties with the US. As noted in the article by our Director of US Tax, Alexander Marino, our firm is “seeing a bump due to the election results.”

“For a lot of people, the election results are a bit of the straw that broke the camel’s back.” – Alexander Marino.

Frustration with the US political landscape has long been a factor in renunciations, but this latest wave suggests something deeper: a growing indignation over policies that not only affect life abroad but also actively harm the countries where expats reside.

The Trump administration’s economic policies have spurred many dual citizens to reconsider their US citizenship. Donald Trump has doubled down on tariffs that directly impact the Canadian economy, and many expats resent that their US tax dollars fund a government that undermines their livelihoods at home.

Meanwhile, in Canada, one attorney reported a 300% spike in inquiries about leaving the U.S. in January following the November presidential election.

Mario Bellissimo, a Toronto-based immigration lawyer, said his firm saw a 300% spike in inquiries after the November election, and another uptick since the January 20 inauguration, Canada-based news outlet CBC reported.

For high-net-worth US expats, the looming reduction of the lifetime gift and estate tax exemption is also a pressing concern. Currently set at $13.99 million, this exemption is slated to drop to around $8 million in 2026 unless Congress intervenes—dramatically increasing US estate tax obligations for those with substantial assets​. With Trump’s administration favouring tax cuts for corporations over relief for individuals, many expats fear their estates will be hit harder than ever.

People are frustrated that they’re paying into a system that works against their interests. They want out, and they want out now.

Renouncing Your US Citizenship THE RIGHT WAY

BORN FREE?  THINK AGAIN 

AMERICANS HAVE TO PAY TO RENOUNCE A CITIZENSHIP THEY MAY HAVE NEVER WANTED

• Costs and Bureaucracy: The complexity and cost of the renunciation process itself, paradoxically, may have also contributed to the recent increases. In 2014, the U.S. government raised the administrative fee for giving up citizenship from $450 to $2,350, one of the highest renunciation fees in the world. For some, this steep cost, combined with increasing awareness of tax and reporting obligations, creates a sense of urgency to renounce before the process becomes even more financially burdensome.

We believe in the right of each individual to seek asylum from persecution.

Throughout the world, many countries require asylum seekers to pursue their process in a foreign country.

We feel this "iron curtain" requirement violates human rights as follows:

First, it provides no due process or rational alternative for those asylum seekers who are unable to travel due to poverty and/or disability.

Secondly, it provides no due process or rational alternative for those asylum seekers who have had their right to travel impeded upon by Federal and State agents through threats, intimidation, false arrest, detainment, or to deny one their passport.

AN INTERNATIONAL PLEA TO ALL COUNTRIES!

We plea for countries to re-examine these afore-mentioned policies and make immediate amendments to rectify this moving forces that are violation human rights. 

It serves no government interest to not establish a policy for such individual asylum seekers to be granted asylum prior to their entry into another country. In perpetuating these gross oversights, this yields disparity in that only the rich can afford to travel and pay to seek citizenship elsewhere- let alone get out of most any crime, it seems.