Expatax Guide

Expatriation

Giving up U.S. citizenship or a long-held green card: Form 8854, the exit tax, and covered-expatriate rules.

  1. 01
    The exit tax for covered expatriates
    If you trip any of the three covered-expatriate tests, IRC §877A deems your worldwide assets sold the day before expatriation. Here's the mark-to-market math, the deferral election, the deferred-comp rules, and the §2801 tail on gifts to U.S. recipients.
    11 min read8854W-8CE1040
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  2. 02
    Giving up U.S. citizenship: the tax side
    Renouncing U.S. citizenship — or formally abandoning a long-held green card — triggers a U.S. tax exit process. Here's how the covered-expatriate tests work in 2025, the two exceptions that protect dual citizens and minors, and the obligations that don't end at the embassy door.
    11 min read8854W-8CE1040
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