differences between residence and citizenship statuses, see Joppke (2010)
23 See Betten (1998) and the chapter in this book by Professor Langer on relinquishment of US citizenship
24 As an example, the Maltese Permanent Residence Scheme has been abruptly suspended by the Government in 2010, and following a review of the program new, stricter conditions and higher taxes were imposed; for a general discussion see Joppke (2010)
25 For example in St. Kitts and Nevis
26 Although some countries, such as the UK and New Zealand, have introduced limits to the passing on of citizenship infinitely through blood line
27 See Hokema (2002) and Hansen/Weil (2001) on multiple citizenship
28 Some countries do not even allow you to give up your citizenship unless you have another one. For a good discussion of statelessness, see Stiller (2011)
29 For example in China, Malaysia, the UAE and many other countries, there are minority groups which are resident there but are prevented from acquiring citizenship of the country they live in
30 In some Swiss Cantons for example, you have to pass an “integration” test, which means that you may need to learn some Swiss history and other things deemed useful to qualify for the privilege of applying for Swiss citizenship. In some Asian countries, if you are not of a particular ethnic origin, your chances of ever being granted citizenship are close to zero. In most Muslim countries you need not apply if you are not Muslim
31 See the chapter by Professor Weil for further information on this
32 Ireland for example
33 For an extensive overview see Bauman (2009) and www.henleyglobal.com
34 For an in-depth discussion of these options see Part IV
35 For example Bulgaria, Cape Verde, Montenegro, Nauru, the Seychelles, most South American countries, and others
36 Montenegro, for example, granted citizenship to the controversial former Thai Prime Minister Thaksin Shinawatra on the basis of a mere promise to invest in the country
37 Panama, under its retiree residence program
38 Tonga and a couple of African countries
39 For more information see the website of the Ministry of Interior of Iceland http://eng.innanrikisraduneyti.is/laws-and-regulations/english/citizenship/nr/27049
40 As has been the case in Costa Rica and other Latin American countries for many years
41 The information is based on the author’s own interpretation of citizenship legislation in the relevant countries; for a definitive assessment of the legal situation and possible exemptions, it is necessary to seek legal advice from a specialist in the relevant country
42 Persons may retain their former citizenship only if they apply to do so prior to taking out another citizenship (Beibehaltungsgenehmigung) or if they become citizens under section 10(6) of the Citizenship Act. Otherwise, dual citizenship is generally not allowed and if another citizenship is acquired, Austrian citizenship is lost ex lege
43 You may become a foreign citizen only if you apply to do so prior to acquiring another citizenship. Otherwise dual citizenship is generally not allowed, and if another citizenship is acquired the Egyptian citizenship is lost ex lege
44 Persons may retain their German citizenship only if they apply to do so prior to obtaining another citizenship (Beibehaltungsgenehmigung). Otherwise dual citizenship is generally not allowed, and if another citizenship is acquired voluntarily German citizenship is lost ex lege
45 According to Chapter 14, Annex J-Article 6* of 1951 Pakistani Nationality Law and the amendments 1952, 1972, 1973 and 2000 stated that holding dual citizenship was not permitted. But now the government of Pakistan, based on bilateral treaties signed by Pakistan, recognizes and allows its citizens to also hold citizenships of 16 countries, including Australia, Belgium, Canada, France, Iceland, New Zealand, Sweden, Switzerland, the US, the UK and others
46 Spain has dual citizenship treaties with Argentina, Bolivia, Chile, Costa Rica, the Dominican Republic, Ecuador, Guatemala, Honduras, Nicaragua, Paraguay and Peru. Spanish citizens residing in these countries do not lose their citizenship if they adopt that citizenship. For all other countries, Spanish citizenship is revoked upon the acquisition of foreign citizenship
47 In the case of the Czech Republic two specific exceptions apply. Most importantly, in the case of restoration of Czech citizenship (while keeping the one possessed to date, for example US citizenship) when the citizenship of former Czechoslovakia was illegally taken away between1948-1990 by the Communist regime; or without losing the Slovak one, thus becoming a dual citizen
48 India has introduced “overseas citizenship”, which is very close to giving Indians the possibility to hold full dual citizenship. It is therefore possible for an Indian citizen to acquire a foreign citizenship, thereby losing full Indian citizenship but immediately acquiring “overseas citizenship.” As an “overseas citizen” you have the same rights as Indian citizen as before, including the right to own property etc. in India, except political rights
49 In the South African Citizenship Act it is an offence for a South African citizen aged 18 years and older to enter or depart the Republic of South Africa using of the passport of another country; you can however obtain permission to travel on your foreign passport abroad
50 In Saudi Arabia there are even criminal penalties for exercising another citizenship; regardless, many Saudi citizens hold dual citizenship, mainly from the US
51 Limited dual citizenship allowed. See footnote 46 for Spain above
3
Giving up US Citizenship or a US Green Card
By Professor Marshall J. Langer52
Chapter Summary
Many US citizens dislike the amount of tax they must pay. This has led to an increase in the number of citizens who consider giving up US citizenship even though punitive exit taxes have been in place since 2008. With the threat of even higher US federal and state taxes in the near future, the interest in leaving permanently continues to rise.
The exit taxes are deliberately punitive, and have been designed specifically to prevent the highest taxpayers from leaving by removing virtually all of the financial benefit gained by doing so.
Giving up US citizenship is a complicated business, and a wide range of factors must be taken into account, including residence, domicile and citizenship, marital status and the status of beneficiaries, sources of income and location of assets, and the timing of any move. You must also acquire another citizenship to replace the one given up.
The exit taxes do not apply to everyone who gives up US citizenship; there are two
