Trending...
- Tampa-Based Digital Marketing Agency Launches New Website to Help Local Businesses Grow Online - 110
- California: Governor Newsom announces new tax credits that will generate $2.1 billion investment in world's 4th largest economy
- New PSA Campaign to Address Black Maternal and Infant Mortality in Los Angeles County
Escaping US tax as an American citizen is hard but not impossible. Some are turning to the nuclear option of renouncing their U.S. citizenship to escape U.S. taxes permanently. However, it needs careful planning to gain a second citizenship first and involves an exit tax where assets are over $2 million.
UXBRIDGE, U.K. - Californer -- Wealthy Americans are increasingly seeking to escape U.S. taxation through second citizenship and international relocation, according to La Vida Golden Visas, a leading global investment migration consultancy. This trend reflects growing concerns about the unique U.S. practice of citizenship-based taxation, which requires Americans to pay U.S. taxes regardless of where they live.
Following the anticipated surge in investors exploring alternative residency options ahead of the 2024 U.S. elections, La Vida has observed a notable shift in client intentions toward permanent citizenship solutions rather than temporary residency.
More on The Californer
"The evolution in U.S. investor confidence has been remarkable," notes Paul Williams, CEO of La Vida. "In 2016, American interest in citizenship or residency by investment was minimal. Today, it represents our largest market globally, with many high-net-worth individuals seeking legitimate paths to tax efficiency."
The shift from cautious exploration of European residency programs, particularly Portugal's Golden Visa, to more decisive pursuit of full citizenship in nations like Antigua and Grenada demonstrates Americans' growing sophistication in global mobility planning.
Under current U.S. tax law, American citizens must report and pay taxes on their worldwide income, regardless of where they reside. This includes salary, investment income, and business profits earned abroad. Even Americans living permanently overseas must file annual tax returns and potentially pay U.S. taxes in addition to taxes in their country of residence.
More on The Californer
However, a carefully planned exit strategy involving obtaining second citizenship before renouncing U.S. citizenship can provide a legal path to ending U.S. tax obligations. This process requires careful consideration of the expatriation tax (exit tax) and compliance with IRS and State Department procedures.
"Many of our clients are successful entrepreneurs and digital professionals whose businesses operate globally," explains Williams. "While their location-independent income streams offer flexibility, U.S. citizenship creates an ongoing tax burden that impacts their international competitiveness."
The growing interest in citizenship-by-investment programs reflects a broader trend among high-net-worth Americans seeking to optimize their global tax position while maintaining access to international business and lifestyle opportunities. These programs offer a structured path to acquiring citizenship first and then residency in jurisdictions with more favorable tax treatment. It provides a legitimate solution for those looking to reduce their global tax exposure while ensuring compliance with all relevant regulations.
Following the anticipated surge in investors exploring alternative residency options ahead of the 2024 U.S. elections, La Vida has observed a notable shift in client intentions toward permanent citizenship solutions rather than temporary residency.
More on The Californer
- NBA Champion Lamar Odom Launches Anti-Addiction Meme Coin, Ushering in a Disruptive Innovation in Web3
- Emmetra Partners with Renesas to Advance Agentic AI-Powered Imaging Solutions
- Gravity to Bring 5-Minute EV Charging to 8 Sites Across Greater LA
- California: Governor Newsom issues statement on Pope Leo XIV, the first American Pope
- New poll shows high rates of employee burnout amid concerns over politics and personal finances
"The evolution in U.S. investor confidence has been remarkable," notes Paul Williams, CEO of La Vida. "In 2016, American interest in citizenship or residency by investment was minimal. Today, it represents our largest market globally, with many high-net-worth individuals seeking legitimate paths to tax efficiency."
The shift from cautious exploration of European residency programs, particularly Portugal's Golden Visa, to more decisive pursuit of full citizenship in nations like Antigua and Grenada demonstrates Americans' growing sophistication in global mobility planning.
Under current U.S. tax law, American citizens must report and pay taxes on their worldwide income, regardless of where they reside. This includes salary, investment income, and business profits earned abroad. Even Americans living permanently overseas must file annual tax returns and potentially pay U.S. taxes in addition to taxes in their country of residence.
More on The Californer
- Tessellations Appoints Luthern Williams as Head of School
- Aureli Construction Sets the Standard for Seamless Home Additions in Greater Boston
- Psychological Thriller "Killing Off Connor" To Open 34th IFS Film Fest After 12-years In Post
- Harvest Properties Acquires Two San Francisco Bay Area Self Storage Facilities for $44.2 Million
- California businesses in near-universal compliance with prohibition of intoxicating hemp products harmful to youth
However, a carefully planned exit strategy involving obtaining second citizenship before renouncing U.S. citizenship can provide a legal path to ending U.S. tax obligations. This process requires careful consideration of the expatriation tax (exit tax) and compliance with IRS and State Department procedures.
"Many of our clients are successful entrepreneurs and digital professionals whose businesses operate globally," explains Williams. "While their location-independent income streams offer flexibility, U.S. citizenship creates an ongoing tax burden that impacts their international competitiveness."
The growing interest in citizenship-by-investment programs reflects a broader trend among high-net-worth Americans seeking to optimize their global tax position while maintaining access to international business and lifestyle opportunities. These programs offer a structured path to acquiring citizenship first and then residency in jurisdictions with more favorable tax treatment. It provides a legitimate solution for those looking to reduce their global tax exposure while ensuring compliance with all relevant regulations.
Source: La Vida Golden Visas
0 Comments
Latest on The Californer
- Long Beach: City Celebrates Inaugural National Home Improvement Month: Love Where You Live
- California sues Trump administration for illegally withholding billions in bipartisan infrastructure funds: 'Another Trump gift to China'
- Tale of two trains: California high-speed rail leaves Texas in the dust
- California: State invests nearly $33 billion in cap-and-trade dollars to make communities cleaner and healthier
- Where AI Falls Short, Real Connections Rise—Media Outreach with Heart
- Cybersecurity is Protecting Your Personal Information and Your Portfolio
- EY US unveils Puneet Nanda of GuruNanda as an Entrepreneur Of The Year® 2025 Award Finalist
- California: Governor Newsom proclaims Children's Mental Health Awareness Week 2025
- VC Mastermind Launches: A Private Global Network and Podcast for Top-Tier Venture Capital Leaders
- L2 Aviation Celebrates Grand Opening of New Facility at Cincinnati/Northern Kentucky International Airport (CVG)
- Actor and Writer Ernie Rivera Launches Groundbreaking Indie Superhero Thriller, Citadel Lost, with Full Campaign and Industry Buzz
- Managing Summer Staffing Surges with Confidence: Why Name Badges Are a Must for Seasonal Success
- Visa Named Title Sponsor of Ascending Athletes' Business Owners Summits for NFL Entrepreneurs
- The Paris Court of International Arbitration Elects Dr. John J. Maalouf as its New President
- ViroMissile Unveils IDOV™ Platform: A Potential One-Shot Cure for Cancer
- $56.7 Million Announced in Q1 2025 with Revenue Growth and Progress Toward NASDAQ Uplisting for AI Marketing Company: IQSTEL, Inc. Stock Symbol: IQSTD
- SAVVY MINING raised $500 million and launched BTC.XRP.DOGE cloud mining, increasing investors' returns by 30%
- New National Nonprofit Launches to Capture Firsthand Accounts of Adoption Stories
- The Tide Project Opens at Biennale Architettura 2025 in Venice Amplifying Youth Voices
- Expert Tongue-Tie and Lip-Tie Treatment Now Available at SVPD and Orthodontics