May 2014 – Over 3,000 Americans chose to renounce their citizenship in 2013. That number is triple the average for the previous five years. Experts say the constantly changing tax regulations are a major hindrance to citizens living and working outside the country’s borders. America is one of the only countries to tax nationals on all income, regardless of where it is earned.
Foreign banks are also having a difficult time with American tax laws. Several are opting to kick American clients out because the penalties can be high if the bank makes a mistake in reporting U.S. held accounts, even if they are simple checking and savings accounts.