It’s no secret that the crypto gains have to be reported to the IRS, followed by a 20% tax. Trump’s new tax system makes crypto regulations even more ridiculous because the US citizens will have to pay taxes on their cryptocurrency income even if they are currently not located in the U.S.A. Meaning, they will have to report their incomes to IRS and pay taxes from any country they currently live in, as long as they have a US citizenship.
Being a US citizen may have more downsides than just high taxes. Business partners from other countries may run away from you due to the regulations in the U.S. If you are a citizen of the U.S.A., you may already have encountered issues getting into an ICO for example.
What’s the best approach for getting citizenship elsewhere?
According to Andrew, the best approach is to apply for multiple citizenships in case one or two will get rejected. Andrew suggests applying for citizenship as an investment, which can take up to six months in order to get an answer. If you are paying $100K in tax, buying citizenship by investment will give you a 100% return on your investment, he says.
People renouncing their citizenship is a good tactic, but do you need such extreme measures? Well, if you are a large investor, it actually seems like a good idea, but as a small investor, it will be difficult to get citizenship in a less regulated country where the taxes are smaller.
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