Wealthy Americans Look to Change Citizenship to Reduce Tax
Wisconsin Eagle/10296976

UXBRIDGE, U.K. - WisconsinEagle -- 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 Wisconsin Eagle

• Pregis Expands Multi-Layer Technology for High-Performance Barrier Films at Anderson Facility
• Insuraviews Secures Funding to Revolutionize Insurance Filings and Appoints Nick Amundsen as CEO
• New Professional Association to Study Principles of Hospitality Applied to the Delivery of Healthcare
• Clinical Endpoints Successfully Met in Study for Groundbreaking 12-Lead ECG Synthesis Technology Allowing Software Application to FDA: HeartBeam, Inc
• Boston Industrial Solutions, Inc. Unveils Natron® 504N UV LED Inks Designed for EPSON Printheads

"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 Wisconsin Eagle

• Kavelle Christie: Trump's First 100 Days Mark Alarming Breakdown in Healthcare, Public Health, and Freedoms
• OpenSSL Technical Advisory Committee Elections Now Open – Cast Your Vote
• Axiros Confirms Continued Compliance with ISO/IEC 27001:2022 After Surveillance Audit
• Twitter's Buzzing! What's the Deal with PhotoG, the AI Everyone's Talking About?
• New WHO Mental Health Guidelines Condemn Coercive Psychiatry

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.