Trump bump: U.S. citizenship renunciation inquiries surge in Canada, lawyers say

Renouncing U.S. citizenship has become a popular choice for many Americans living in Canada, especially since the election of President Donald Trump in 2023. Douglas Cowgill, a Wisconsin native and lawyer based in Surrey, B.C., made the decision to renounce his U.S. citizenship that year, citing a desire to focus on his life in Canada.

Cowgill, who had been a dual citizen with a Canadian wife and family, is just one of many who have chosen to cut ties with the U.S. for tax reasons. The U.S. is one of the few countries that taxes based on citizenship rather than residency, leading to expensive reporting and filing obligations for U.S. citizens living abroad.

Alexander Marino, director of U.S. tax law at Moodys Tax Law in Calgary, has also seen an increase in inquiries about renouncing U.S. citizenship since Trump’s election. He believes that many expats are motivated by political reasons, with the election results serving as the final push to give up their citizenship.

The process of renouncing U.S. citizenship can be complex, involving immigration filings, tax compliance submissions, and a $2,350 US administrative fee. Applicants must also attend a formal interview at a U.S. embassy or consulate general, where they must take an oath renouncing their citizenship.

Despite the challenges, Cowgill has no regrets about his decision to renounce his U.S. citizenship. He now feels more connected to Canada and no longer has the same sense of security when crossing the border into the U.S.

Overall, the trend of renouncing U.S. citizenship is expected to continue, with a record number of people predicted to give up their citizenship in the coming years. Whether motivated by tax reasons or political concerns, more and more Americans in Canada are choosing to cut ties with their home country and embrace their life in the Great White North.