Why you SHOULDN'T get US Citizenship even if you have a chance?

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You're in a position to get US citizenship. Should you actually take it? Could you regret it down the road? Why is US citizenship different than any other citizenship in the world? Is it an amazing gift or a potential burden?

If you're a citizen of any country in the world, and you decide to move abroad you DO NOT HAVE TO report and file taxes in your home country. If you move abroad you're obligated to report to the country where you actually live, not the country you're a citizen of. Well, not if you're an American.
American citizenship is different than any other citizenship in the world.

Even though, American passport grants you visa-free access to 185 countries (basically most of the world) it still has a huge disadvantage. If you have this passport you will need to report and file taxes in the US no matter where in the world you live! If you make over 100k per year you will always have to pay American taxes.
The USA is one of the 2 countries in the world that will tax you based on your citizenship. As long as you have American passport you will need to pay American taxes.

This creates another problem with banks abroad. They are less likely to let you bank there if you're an American because it would mean that they have to deal with the IRS, and they don't like it. That's why many banks will turn you down.

If you have a foreign bank account that you didn't report to Uncle Sam, they can fine you with 50% of whatever is in that bank account!

Even though an American passport can offer so much, it also can take a lot from you. Many Americans contacted me in the last little while because they want to renounce their American citizenship and are looking for another option.
They find a US passport to be more of a liability than an asset in their life.

Who are we and what do we do?

We are Offshore Citizen team. We help people become global: get a second passport, set up a second residency, pay less taxes, do banking abroad, etc.

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Author: Michael Rosmer

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[jkay]

As an American, I can say the tax laws are oppressive to the middle class hard working American.

[tw]

It’s crazy to see how tables have turned. US citizenship was once a dream of many people! Nowadays we see more and more Americans renouncing. Crazy really.

[bl]

One of my friends just renounced his US citizenship to become a Singapore citizen, which doesn't allow dual citizenship. Since he's 20 years old, he had to get a physiological report to prove his sanity before his renunciation is approved. Not to mention after becoming a Singapore citizen he's legally obliged to renounce. Crazy

[gammaechofoundationproductions]

Michael, you've raised some very good points on why people should not apply for US Citizenship. I have a house in Florida but I also live in Argentina with my native Argentinean wife. Which means, not only will the US Government tax me aboard, they will also dig into her taxes as well simply because she is married to me, an American, therefore, they will treat her as an American too, which potentially places her in hot water.

We are planning to have kids soon and once they are born, they too will be taxed because they will technically be Americans, despite not being born in the US, all because I am an American living part-time outside of the US. As you can imagine, none of us likes this policy because it is unjust and unfair. We are in a bit of a tight spot because on one hand, we don't want the US Government to tax my wife especially since she is not an American, but at the same time I don't want to renounce my US Citizenship since I go back home to visit friends and family there, and do some business too on occasion.

In the past, I have considered renouncing my US Citizenship, but only as a last resort. Instead, I discovered that living in the US Virgin Islands is a great alternative option for Americans because it is a part of the US, but it offers more benefits than living in the US. For starters, Americans who choose to move there can decrease their taxes to at least 90% and in some cases, they could even reduce them practically to zero, depending on their situation. On top of that, they have beautiful scenery, especially the beaches, friendly people, crime is relatively low, it is generally safe especially in the St. Johns area, advanced healthcare, excellent schools, and delicious food.

For those who are interested in this alternative option to renouncing your US Citizenship, please check out this short video on the US Virgin Islands:

And yes, Puerto Rico is another option, however, I do not recommend it for the following reasons stated in this video:

And for those who are still hell-bent on renouncing their US Citizenship, more power to you! I just wanted to let you know that there is another option besides giving up your US Citizenship. Hope this helps! :)

[summmmmmable]

I was on the same boat and decided not to apply my N-400, naturalize citizenship, and you just reassured my decision. I carried my national passport for over 30+ years and I paid ZERO taxes to my home country…

[Emanouche]

This is exactly why I haven't done my citizenship yet, I'm still thinking of moving back to Switzerland. Even though Switzerland and the USA have a treaty to limit double taxation, you still have to file your taxes each year, and banks might deny services because of the hassle that comes with the citizenship. America is the freest country in the world until it isn't.

[Mazxlol]

Don't forget you don't have to do jury duty as non-citizen. I get summons every year and just make a call to get dismissed. I was planning to get citizenship still but I'm not sure anymore. It seems like life in US got a lot worse over the past decade and it's getting worse each day

[VERTICALWisdom]

I'll sell mine....:) Since I am renouncing this year. US citizenship is the gift that keeps on looting no matter where you live and work.

[jl]

My wife's a Canadian getting her Green Card this year. Yes, some of the US tax laws are pretty screwy but I will never renounce my US Citizenship.

[mvp]

You need to address that having a green card for 8 years (which can be as little as 6 years and 2 days, since a single day in a year counts as a full year) makes you a permanent tax resident of the USA, and even if these people give up their green card and move back to their native country they still have the same filing requirements and have to go through the same process as a US citizen renouncing their citizenship in order to escape it.

[ezmealstravels]

Everyone's situation might be different, my husband's citizenship appointment is set for next month and he's exited to be able to travel freely . God willing all will work out for us 🇺🇸 🙏. I'm born and raised American

[jeromeoaf]

Good call on buying a lapel mic. Audio is way better than your prior videos. Good content too!

[JohnDoe-ivkl]

I am US citizen moved 3 years ago looking to renounce my citizenship
better options in life around the world ..Move On ..

[alfs]

I’m half German/American and live in the EU and cannot wait to renounce my US Citizenship! I’ve told so many friends that moved from Germany and other countries to the US to NOT get citizenship for these exact tax by citizenship vs residency like the rest of the world!

[kerry]

I’m a British green card holder in the USA. I was told by my lawyer that if my US citizen husband were to die and I’m not a citizen, I would lose 40% of our estate. Either way you lose money. I’m very torn.

[turiancamila]

Being an American and holding American citizenship is the greatest thing happen to me. I wish you were born in a fourth world autocracy and lived there for some period of your life, just to understand what US is giving in terms of financial freedom. Gratitude is a quality similar to electricity: It must be produced and discharged and used up in order to exist at all.

[kayflip]

Yeah, but the US has the largest capital market in the world and the most job opportunities. You can make 50-100% more for the same job in the US vs other first world countries. The much higher income and access to these jobs far outweighs the disadvantages of the taxes.

[damanimcnish]

I agree I work in an investment management company in Jamaica and we had to report all us citizen who has 50K or more to America. I had to work on Sunday to ensure the report was completed on time.

[bjacres]

It didn't used to be that way. In 1979 my husband considered going to work in Saudi Arabia and we didn't have pay taxes in U.S. Ultimately we decided against going.