A crisis response in the United Arab Emirates during the war involving Iran is used here as a comparison between a high-tax country, Canada, and a lower-tax country, Montenegro. The central question is whether paying much higher taxes necessarily produces better state support for citizens abroad.
Canada was described as having a top marginal tax rate of around 50%, while Montenegro was described as having a rate of 15%. In other tax areas, Montenegro was also presented as generally more favorable than Canada.
The comparison focused on consular support during a security crisis in the UAE. One person involved had Canadian citizenship, while his wife had Montenegrin citizenship. Both the Canadian and Montenegrin embassies were contacted.
Canada’s response was described as polite and encouraging in tone, but the practical message was that citizens should not rely on Canadian assistance to leave the country and should make their own arrangements.
Montenegro’s response was described as more direct and practical:
- It said it was arranging transportation out of the country.
- The transportation and flights were described as free.
- A Montenegrin citizen could bring a spouse.
- Family members who did not hold Montenegrin nationality could be included because of the citizen’s nationality.
- Montenegro also referred to arrangements with nearby countries, including Croatia, Serbia, and Bosnia, with other countries mentioned but unclear.
- If someone could not make the first available flight, Montenegro indicated that it could try to place them on another evacuation option through these partnerships.
The comparison also mentioned the United States. The U.S. was described as providing some support, but not strong support. One specific caveat was that a U.S. citizen could not bring a non-American spouse on certain evacuation support, according to the account.
The practical lesson drawn from the example is that higher taxes do not automatically mean better support in a crisis. A smaller, lower-tax country may still provide more useful consular assistance than a larger, higher-tax country in a specific situation.
A separate caveat is that people should not depend entirely on any government during an overseas crisis. The safer approach is to have independent plans, resources, and options rather than assuming a passport or high-tax country will guarantee assistance.
