The United States requires a formal, in‑person interview to relinquish citizenship, and the process has become increasingly difficult for Americans living abroad. Since the COVID‑19 pandemic began, many U.S. consular posts have suspended expatriation services, leaving thousands of expatriates unable to complete the renunciation procedure.
How renunciation normally works
- A face‑to‑face interview with a consular officer is mandatory.
- The interview can be scheduled as a single appointment, or split between a phone call and a later in‑person meeting, depending on the embassy.
- The fee for renouncing U.S. citizenship has risen over time: $0 → $450 → $2,350.
Pandemic‑related closures
- In March 2020 the State Department announced that “loss of nationality” interviews were too risky during the coronavirus outbreak.
- Embassies that remained open continued to provide most services, but many, including the large U.S. Embassy in London, posted notices that they were unable to accept appointments for loss of nationality applications and gave no timeline for resumption.
- The requirement for a physical interview behind a glass barrier, while intended for security, was cited as insufficient justification for a complete shutdown of the service.
Scope of the problem
- Estimates suggest 30,000 U.S. citizens abroad are currently unable to schedule a renunciation interview.
- This figure is drawn from a pool of 5–9 million Americans living outside the United States, indicating a potentially larger hidden backlog.
- The 30,000 count likely reflects those in Western countries (e.g., the UK, Switzerland, Canada) where embassy demand is highest; expatriates in locations such as Bali, the Philippines, Colombia, or Paraguay may be under‑represented.
Real‑world examples
- “Michael” – an American who moved to Finland in 2010, attempted to renounce after becoming disillusioned with U.S. politics and pandemic response. He found the process stalled for nearly two years because consular services were suspended.
- Joshua Grant – born in Alabama, now residing in Lower Saxony, Germany, and married to a German citizen. German law requires him to relinquish his U.S. passport before acquiring German citizenship. He submitted paperwork in July 2020, but received no response, continues to file U.S. tax returns, and has been bounced between the State Department, his senator’s office, and the Bureau of Consular Affairs, each citing pandemic‑related delays.
Legal actions
- A group called the Association of Accidental Americans filed a federal lawsuit in Washington, D.C., on behalf of nine expatriates who claim the State Department is denying their constitutional right to voluntarily renounce citizenship.
- The plaintiffs argue that the government’s refusal to process renunciations effectively forces them to remain subject to U.S. tax obligations, including FATCA reporting and potential exit taxes.
Tax implications
- The United States is one of only two countries that taxes its citizens regardless of residence.
- Expatriates who cannot renounce remain liable for annual filing requirements and, in some cases, may face an exit tax if they later succeed in relinquishing citizenship.
- Dual‑citizenship holders (e.g., those seeking German citizenship) must navigate both U.S. tax law and the tax regime of their new country, which can create double‑taxation risks, especially for assets such as cryptocurrency.
Practical considerations for expatriates
- Identify open embassies: Smaller consular posts may be more flexible and able to schedule interviews sooner than major missions in London, Zurich, or Washington.
- Prepare documentation: All required forms, proof of identity, and the $2,350 fee must be ready before attempting to book an appointment.
- Monitor embassy communications: Websites and official notices are the primary source for updates on service resumption.
- Seek legal assistance: Attorneys experienced in expatriate tax and immigration law can help navigate delays and may assist in filing lawsuits if necessary.
- Consider alternative residency: While awaiting renunciation, maintaining a second residency or citizenship can provide a safety net, though it does not eliminate U.S. tax obligations until the citizenship is formally surrendered.
Outlook
The State Department has not provided a clear timetable for reopening loss‑of‑nationality services. Some embassies have begun to process appointments more quickly, but others continue to enforce waiting lists or outright refusals. As global travel normalizes, the pressure to resume these services may increase, yet the pandemic has demonstrated how bureaucratic inertia can effectively block a constitutional right. Expatriates planning to renounce should act promptly, keep thorough records, and stay informed about embassy status changes.
