A record 3,415 individuals renounced their U.S. citizenship according to a list released by the Treasury Department on Tuesday.
The 2014 number was up 14% from 2,999 individuals in 2013, which was also a record.
“Many Americans abroad are finding that retaining their ties is not worth the cost and hassle of complying with the U.S. tax laws,” says Andrew Mitchel, a lawyer in Centerbrook, Conn., who tallies the lists of names released quarterly by the Treasury Department.
Unlike many nations, the U.S. taxes nonresident citizens on income earned anywhere in the world, and U.S. tax liabilities can also apply to children born to Americans abroad. There are only partial offsets for double taxation for people who owe taxes both to the U.S. and a foreign country, and the reporting rules are onerous, experts say.
Editor’s Note: To address this topic we’ve prepared for International Man readers a free report called The American Expatriation Guide—How to Divorce the US Government. This report will guide you through the process of renunciation in amazing detail. To get a copy, simply log in to the International Man site and then go to the Free Guides & Resources section to download the PDF.