Renouncing US Citizenship Taxes

Implications of Giving Up American Citizenship

No matter where you live in the world, as a US citizen you still have an obligation to file US taxes. One option for no longer filing taxes in the United States is to renounce your US citizenship.

Renunciation may help in relieving you from future filing requirements, but there are also significant tax implications, especially if you are deemed a “covered expatriate”. A covered expat is a US citizen with over $2M of net worth and/or an average annual net tax liability for the preceding 5 years of $161,000 or more (indexed for inflation. 

Of course, renouncing is a drastic step, but for some people, it may be the best for their particular situation, and for those people, we are here to help.

We have significant experience with this delicate process. Not only can we help you prepare and file the necessary forms but we can coach you through the process and appointment with the US embassy. We can also guide you in planning your expatriation and in making the right financial decisions to optimize your tax strategy with a potential exit tax.

In addition, through our extensive network, we can connect you with trusted service providers including immigration and tax attorneys, local accountants, and licensed valuation professionals to assist in the transition.

How We Can Help With Renouncing US Citizenship

  • Obtaining a 2nd passport through investments (Dominica, Malta, Grenada)
  • Assisting with the “Renunciation Questionnaire”
  • Completing Form 8854 for renunciation, including asset valuation
  • Planning for tax implications of Section 877A exit tax for covered expats
  • Estimating your tax liability upon renunciation
  • Estimating post-renunciation tax liability and treaty implications
  • Filing forms 1040 & 1040NR for your final year of citizenship
usa passport renunciation

Next Step - Schedule A Consultation

Online Taxman can help navigate the complex and sensitive process of renouncing your US citizenship. Together, we can design and implement the best tax strategy for your expatriation from the United States.

 

Schedule Now

Giving up your US passport has significant implications and cost.

We have helped many clients successfully navigate this delicate process.

 

After living abroad for two decades, I finally made the decision to expatriate. Not only was I facing the complexities of the final return, but also several often overlooked returns and reporting requirements to bring myself up to 100% compliance. As the deadline for my renunciation appointment bore down, Vincenzo and crew got everything in shape. It was a wild ride, but they made it go as smoothly as possible. I’m now living in a country where even the “complicated” personal income tax returns take about 15 minutes to complete. It was a big step, but I’m glad I took it and glad that Vincenzo and crew helped me along the way.

Amit Gilboa, Singapore

After interviewing several tax consultants as preparations for renouncing my US Citizenship I have decided to use the services of Online Taxman as I felt Vincenzo and his team were the most knowledgeable and experienced with the process. All went well and I am very happy and satisfied with guidance, services and help I received from Vincenzo and the Online Taxman team. I can highly recommend them if you are thinking of going through the process of renunciation.

Assaf, Israel