If you renounce US citizenship, you lose your US passport and rights as a citizen, pay a fee, and may owe exit tax. You usually can’t return freely.
What happens
You lose US citizenship and the US passport. It’s hard to reverse.
Process
- Appear before a US consular officer abroad.
- Sign an oath.
- Pay a fee: $2,350.
Taxes
File Form 8854. “Covered expatriates” may owe an exit tax.
Consequences
You may need a visa to enter the US.
Requirement
Have another citizenship to avoid statelessness.
Advice
Talk to a tax attorney.
Legal process
Renouncing US citizenship is done in person before a US consular or diplomatic officer abroad, using the Oath of Renunciation. The State Department charges a fee, which was raised from 450 USD to 2,350 USD in 2014 and has been reviewed since, so check the current amount on travel.state.gov. The renunciation is final and irrevocable, with a rare path to reapply.
- You must be physically outside the US, and must understand the consequences.
- You file IRS Form 8854 (Initial and Annual Expatriation Statement), and a “covered expatriate” may owe an exit tax. Covered status applies if net worth is 2 million USD or more, or average annual net income tax for the past five years is above a threshold (about 206,000 USD for 2024), or if tax compliance for five years is not certified.
- You must be a citizen of another country or the process may leave you stateless, which the State Department discourages.
Consequences
You lose the US passport, the right to live and work in the US without a visa, and the ability to vote or get Social Security-like benefits beyond what you earned. Consult an international tax attorney before acting. This is general information, not legal advice.
Legal process
To renounce US citizenship you must appear in person before a US consular officer abroad, take an oath and sign forms. The State Department fee is 2,350 USD (verify the current amount on travel.state.gov). You must be in a country other than the US and act voluntarily with intent.
Consequences
Renunciation is irrevocable. Former citizens may face an exit tax if they meet net worth or tax liability thresholds. They lose the right to live and work freely in the US and need a visa. They remain responsible for past US taxes.
Legal process
A US citizen can renounce citizenship voluntarily at a US embassy or consulate abroad, not within the United States, by taking an oath of renunciation before a consular officer, and must be fully aware it is permanent. The State Department issues a Certificate of Loss of Nationality. The person should have another nationality to avoid statelessness, though this is not an absolute legal requirement.
Consequences
Renunciation carries a fee, which was 2,350 USD for years, so check the current amount on travel.state.gov. Tax obligations remain until the final return, and an expatriation tax (exit tax) can apply to covered expatriates, with net worth above 2 million USD or average tax liability over the IRS threshold. The person loses the right to live and work in the US without a visa and may be unable to enter without one. Consult a tax and immigration attorney.
Based on data from the US Department of State and the Internal Revenue Service
