The U.S. State Department reduces the fee for renouncing citizenship from $2,350 to $450, starting April 13.

The U.S. State Department announced that, starting April 13, the consular fees for renouncing American citizenship will be significantly reduced, from $2,350 to $450, a decrease of over 80%. This change brings the fees back to the level of 2010, when they were first introduced. The Department justifies these fees by the work of consular agents, who must ensure that individuals understand the implications of renouncing citizenship.

The procedure includes meetings with consular agents, a moral investigation, and the submission of an official oath, which can take several months. The Association of Accidental Americans, which advocates for the interests of American citizens abroad, welcomed this reduction as a victory. The U.S. taxes citizens based on nationality, which can create difficulties for Americans living abroad, including in opening bank accounts. The FATCA law requires banks to report the accounts of American clients, which has led some banks to drop these clients to avoid penalties.