4 ms·
I was a dual us / Canadian citizen who have *never lived or worked in the US*. I revoked my citizenship 2 years ago, after going through a stock sale here in C
by mwarkentin 5y ago
I was a dual us / Canadian citizen who have *never lived or worked in the US*.
I revoked my citizenship 2 years ago, after going through a stock sale here in Canada.
The process:
- cost me around $20,000 for the lawyer, accountants (had to go back and do 5-6 years of taxes), another $3,000 (I think?) to the US for the revocation process
- had to go to the Bahamas in order to get an appointment at an embassy, I never got a response from the ones here (this was the best part, nice little vacation during Canadian winter xD)
- cost more tens of thousands in Canadian tax as I couldn’t claim all of my tax deductions in Canada for the year of the sale of it would’ve pushed me over 25,000 owing on the US side and meant I’d have had to pay (there’s a program for clearing up to 25,000 owing taxes when you revoke now)
- the IRS fucked up and came back to me this year as owing so I’m continuing to pay the accountants to deal with that for me
- caused untold amounts of stress for myself and my wife
I had previously basically ignored the whole situation as it seemed entirely ridiculous that I should have to deal with this, however the US has started forcing foreign banks to ask their customers about their citizenship status. It didn’t seem smart to lie about this to my bank (who also happens to be my wife’s employer), so it seemed like I may have been ending up on the IRS radar at some point regardless.
All in all an entirely SHIT situation even though technically I probably never would’ve owed outside of your caveats about a stock sale. Had I been compliant it would’ve cost me in money and time each year.
- MeinBlutIstBlau 5y agoI know if you're born from a US parent you get citizenship, but what's stopping them from only filing for the birth of a Canadian child in Canada and never acknowledging they have American citizenship? As long as you don't get a birth certificate and SSN in the US, the IRS will never know.
- mwarkentin 5y agoI had a birth certificate, my parents thought it would be potentially helpful for me (this was also almost 40 years ago so a lot of these extra compliance requirements didn’t exist back then). We were concerned that my kids would also potentially be US citizens but it seems like I would have to have lived there for some amount of time for that to kick in.
- jfb 5y agoYou do have to apply for an acknowledgement of US citizenship for your kids, and when they're 18, they have the choice of renouncing US citizenship without all the bullshit hassle adults face.