I have dual citizenship. Do I still have to file taxes?

2 min

File taxes if you have dual citizenship. Yes, if one of your nationalities is American, you must still file US taxes and report your financial interest here (bank accounts, investments, etc.).

The US, together with Eritrea, is the only developed country in the world that has its tax laws based on nationality. This means a US person always has to file a return and in some cases, must pay tax in the US, regardless of his residence and workplace. Not complying or late compliance with these obligations results in (possible) fines being imposed and there is no limitation period.

Cancel dual citizenship

Unfortunately, it is a misconception that one can do away with one’s US nationality without having filed tax returns in the US.

Of course, you can give up your US citizenship, but be aware that this will not have any effect on your US tax liabilities. To be able to give up US nationality, you must have filed 5 years of US tax returns and you must have complied with the FBAR obligation for the previous 6 years.

There have been cases of people who gave up their US nationality and still have a tax obligation—the worst of both worlds. You could still be (in exceptional cases) subject to a so-called exit tax.

Questions about dual citizenship

If you have any questions about dual citizenship and the US tax obligation you can contact Americans Overseas. Two dual nationals living abroad founded Americans Overseas. In the costly and exhausting process of finding the right experts, they realized they had not only accumulated a mountain of knowledge but also built up a solid network of tax and legal experts. This could be of great benefit to others in similar situations with dual citizenship.

Contact us for more information