- 2,872 HNWI expats renounced US citizenship in the first three quarters of this year
- Dominica, Saint Kitts and Nevis and Saint Lucia are the top three CBI programs in 2022
Dubai, United Arab Emirates: Passport Legacy, a Swiss boutique company with over 25 years of combined experience in the investment migration industry, has seen an increase in the number of affluent expatriates (HNWIs) renouncing their citizenship American; 2,872 HNWI expatriates are reported to have renounced their US citizenship in the first three quarters of 2022, surpassing the 2,421 who did so throughout 2021. Passport Legacy highlights how the UAE and renowned global CBI programs will benefit.
A recent survey found that American expats are at their wit’s end; 4% are considering giving up their US citizenship, while 18% are seriously considering doing so. Additionally, 69% of American expats think they shouldn’t have to pay US taxes while living abroad, 72% have had to fill out additional tax forms for financial reporting, and 85% believe that they are not fairly represented by the US government.. This likely contributes to the growing increase in HNWI expatriates who have renounced their US citizenship. With nine million American expats living outside the United States and more than four in 10 claiming they would give up their US citizenship due to the burden of filing taxes, it is becoming seemingly unreasonable for many to file taxes on worldwide income such as wages, interest, rental income, business profits, etc.
The consequences in the months and years to come will see countries like the United Arab Emirates, where tax-free incentives are highly desirable for such investors, benefit. The country’s Residency by Investment (RBI) program, the UAE Golden Visa, was launched in 2019 and has been granted to over 150,000 people. This has simultaneously accelerated Dubai’s growth, with the emirate now home to over 65,000 millionaires and counting, ranking as the 23rd most popular city for ultra-wealthy residents, and on its way to becoming a top 20 destination. by the end of this decade.. In addition to this, the world has increasingly noticed the assortment of benefits of several Citizenship by Investment (CBI) programs across the globe that come at a lower cost of investment.
According to the CBI 2022 Index, a standard scoring system developed to measure the performance of these programs on various indicators, Caribbean countries have the most sought-after CBI programs in the world; Dominica, Saint Kitts and Nevis, Saint Lucia, Grenada and Antigua and Barbuda rank in the top five respectively. Take into account considerations such as ease of treatment, standard of living, freedom of movement, etc., these countries have consolidated their position as countries ranging from the oldest to the most renowned. With the COVID-19 pandemic, global turmoil and rising inflation rates being the main contributors, American expats as well as countless people around the world are redefining their priorities to protect both their income and their savings as as basic products.
Jeffrey Henseler, Founder and Managing Partner of Passport Legacy, UAE HQ, said: “A recent survey of 3,100 American expats found that over 25% of respondents were living abroad as a result of a move, nearly 30% because they wanted to be closer to their partner, and around 15% because of their love of travel. Implementing changes such as repealing citizenship-based taxation or simplifying the tax filing process would likely lead to a decline in the number of American expats who renounce or plan to renounce their citizenship. However, the likelihood of this happening is slim to none. That said, this is the main reason why many American expats are considering other opportunities, regardless of their tax bracket. The hurdle of having to disclose financial accounts like savings, or report any growth in investments, are hardships that many are no longer willing to accept. The United Arab Emirates and a variant of the Caribbean countries benefited, with several attractive factors being a driving force.
The UAE boasts the world’s first passport in 2022 and the introduction of the country’s Golden Visa program has boosted the country’s appeal by offering several expats the opportunity to enjoy a plethora of benefits that would not otherwise be available to them. not accessible. On the other hand, Dominica retaining its top spot in the CBI 2022 index for the sixth consecutive year, Saint Kitts and Nevis holding the oldest and one of the most renowned programs in the world, and Grenada having generated more than $33 million in revenue in the first quarter of 2022there are several esteemed places for American expats and HNWIs to consider relocating to.
About Passport Legacy:
Founded by Jeffrey Henseler, Passport Legacy is a boutique Swiss company with over 25 years of combined experience in the residency and citizenship-by-investment industry. Headquartered in Dubai, United Arab Emirates, with global offices in Nigeria, Pakistan and Lebanon, Passport Legacy is a CBI company that provides a range of bespoke professional services to its private clients, including the acquisition of alternative residences or of citizenship as well as real estate. With highly knowledgeable and experienced customer advisors available to call and text 24 hours a day, 7 days a week, Passport Legacy facilitates access to over 150 countries.
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