US quintuples application fees for renouncing citizenship

Applications to renounce American citizenship will go from US$450 to US$2,350 under fee changes announced by the United States Embassy in Jamaica last week.

The fee change, along with a number of other immigration-related fees increases and decreases will take effect on Sept. 12.

“The new fee for renouncing U.S. citizenship is a fivefold increase and reflects the real, unsubsidized cost of providing this service,” a statement released by the embassy read. “A renunciation is a serious decision, and consular staff must be certain that the person renouncing fully understands the consequences. Consular officers spend substantial amounts of time on each renunciation case.

“Further, before a renunciation is complete, the case must go to the department in Washington, D.C. for review and a final decision. The former fee of US$450 represented less than a quarter of the Department’s processing costs.”

The application fee is separate from what those who renounce their U.S. citizenship must pay as an “exit tax.” That tax equates to 25 percent of the person’s total assets.

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In 2013, the U.S. reported a record number of citizenship renunciations and available data for 2014 shows the number could increase this year if it stays on the same course.

According to state department records in 2012, 932 Americans gave up their citizenship or permanent resident status. Last year, about 3,000 renounced citizenship and in the first six months of 2014, 1,579 people have surrendered their U.S. passports and nationality.

The spike in citizenship renunciations, which previously averaged only several hundred a year, is a phenomenon that has only occurred since 2012.

With regard to other fees, family-based and fiance(e) immigrant visas will increase, while fees for employment-related immigrant visas will decrease. Fees for the U.S. visitors’ visa have not changed.

Fees for family-based immigrant visas will increase from US$230 to US$325. These visas include immigrant visa petitions filed by family members in the U.S. fiance(e) visas will increase from US$240 to US$265.

Employment-based immigrant visa petitions will decrease from the current US$405 to US$345.

Fees have also decreased for out-of-office consular services from US$231 per hour to US$135 per hour.

The U.S. Embassy in Kingston, Jamaica processes about 100,000 nonimmigrant visa applications and 12,000 immigrant visa applications a year. Each year, U.S. Department of State processes more than 11 million nonimmigrant visas and 600,000 immigrant visa applications.