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Pros and Cons of Dual Citizenship
Having two passports — and being officially a citizen of two countries— is a dream come true for many. Dual citizenship is an option that is highly desirable and has numerous advantages such as greater freedom of movement, economic advantages, and security. But the privilege has its own set of legal, financial, and bureaucratic issues that have to be weighed.
Before going on to obtain dual citizenship, one should thoroughly know the advantages and disadvantages that one gains from it. In this article, we will explain what dual citizenship is, who is eligible, its many advantages, and the advantages one can reap. We also provide advice on how to manage obligations that accrue from it.
What Is Dual Citizenship?
Dual nationality refers to the position of possessing citizenship of two states at the very same time. Although this may be advantageous to an individual in a very many different ways, it is not bestowed by all countries and there is wide variation between them as regards their policies on allowing it. For example, the United States allows dual nationality but does not actively encourage it. Americans do not have to forgo their nationality as they acquire a new one, but they must still comply with U.S. laws. Japan and India, however, discourage or even prohibit dual nationality. Citizens of both countries who acquire foreign nationality may be required to renounce their former citizenship.
On the contrary, Canada and Australia embrace dual citizenship with impunity, where citizens can hold several nationalities without renouncing any of them.
Advantages of Dual Citizenship
- Freedom to Travel
One of the most powerful drives for people seeking dual citizenship is the increased liberty to travel. Two passports offer you the freedom to travel visa-free to more destinations. A U.S.-EU dual citizen, for example, can visit the whole of the North American continent and Europe visa-free, making holiday or business travel so much simpler.
This capacity to travel also extends to enhanced long-term residence opportunities. As a dual EU and U.S. citizen, not only do you have visa-free travel, but you can also work and live in the EU member states visa-free. This can particularly prove useful for career people who wish to set up in Europe.
- Access to More Services
Citizenship simply refers to possessing the capacity to enjoy a group of benefits, including healthcare, education, and social welfare. As a dual citizen, you are able to enjoy both in both countries. For example, if you are an American and United Kingdom citizen, you are able to benefit from public health care in the U.K. and enjoy healthcare benefits in the U.S. (though via private health insurance). Similarly, an American and German citizen can enjoy state tuition fees in both countries, which can reduce the cost of education.
- Property Ownership Rights
In other countries, only the citizens own property. In other countries like Mexico, they restrict foreign nationals from buying land near borders. However, a dual citizen of Mexico and the U.S. would not be restricted and could buy property in either country without restrictions. This can prove to be advantageous for dual citizens who want to own real estate investments as they can access more in both countries now.
- Economic and Work Opportunities
Having dual citizenships benefits you immensely when it comes to working, since you are lawfully entitled to work in both countries without any additional visas or working permits. For instance, an Italian-American citizen can work in any country of the European Union without having to go through the hassle of securing a work visa. Not only will this be easier to do in terms of moving for a job, but it can also bring more positive tax relief and exposure to more job listings.
- Safety Net
In the event of political or economic unrest, a second citizenship is a relocation insurance policy. For example, a dual citizen of Venezuela and Spain can choose to relocate to Spain if the political or economic environment in Venezuela becomes unfavorable. Having the option to reside in either country is a great safety net, offering a secure alternative for those who must leave conflict in one of their home countries.
Challenges of Dual Citizenship
While the benefits of dual citizenship are many, there are also several challenges to be encountered. They involve legal obligations, taxation, and the inconvenience of having to deal with more than one government.
- Tax Obligations
Double taxation is one of the primary concerns of dual citizens. In other nations, tax payers must report and pay taxes on their worldwide income, regardless of location. The U.S., for example, makes all citizens report taxes on foreign income even when they reside abroad. Double Taxation would result in the U.S. and home nation, for example, France or Brazil. To avoid paying twice, dual citizens generally need to claim tax exemptions or treaties between the two countries.
Double citizens are advised to seek the opinion of an international tax professional to stay in compliance with the tax laws of the two countries. Tax professionals can assist in identifying mechanisms, such as claiming credits or deductions under tax treaties, that can reduce the tax burden.
- Military Service
There are some countries that have obligatory military service, and the obligation can be applied to dual citizens. One such country is Israel,where military service is obligatory, including for dual citizens. An Israeli/U.S. double citizen can be required to serve if called, which could be a problem for those overseas or with other employment commitments.
- Enmeshed Legal Obligations
As a dual citizen, you will be required to follow both countries’ laws and regulations. This could create a situation whereby a thing will be legal in one country but illegal in another. A clear example is a U.S.-Saudi Arabia dual citizen, who can get himself or herself into a legal predicament while abroad because certain things such as consumption of alcohol or even conducting business could be prohibited or illegal in Saudi Arabia but legal in the United States.
In these situations, dual citizens could face severe legal issues when attempting to harmonize opposing laws in both nations. It is advisable that dual citizens keep themselves up-to-date about the legal scenario in both nations to prevent unintentional infringement.
- Restricted Consular Protection
While dual citizenship offers two avenues for consular protection overseas, there are likely to be some situations in which the protection of one of your nations is restricted or does not exist at all. For instance, when a United States-Cuba dual citizen is arrested in Cuba, there can be minimal capacity for the U.S. embassy to intervene due to diplomatic tension, or even no major assistance from the Cuban Embassy at all. This could further complicate reliance on diplomatic assistance in foreign nations on the basis of political circumstances.
- Dual Loyalty Issues
Certain government, military, or security jobs may necessitate a person to give up one of their citizenships since there is a perceived conflict of loyalty. Dual citizenship might not be permitted in certain countries,particularly for sensitive occupations. For example, a dual US and Russian national may be restricted when seeking national security clearance government employment in either country since both countries would assume dual nationality for sensitive work.
Who Is Eligible for Dual Citizenship?
There are various paths through which one can obtain dual citizenship. Depending on the country, one can obtain dual nationality by birth, descent, marriage, investment, or naturalization.
- By Birth
It is the policy of the majority of countries, as well as the U.S., to grant citizenship to individuals born on its soil (jus soli). When one or both the parents are citizens of a foreign nation, a child may claim dual citizenship. For example, a child born to French nationals in the U.S. will be automatically entitled to U.S. citizenship by birth and French citizenship by descent.
- By Marriage
Some countries offer a route to citizenship through marriage. Depending on such conditions, a foreigner can become a citizen after staying as a married partner in the household of a citizen of a country for certain lengthy periods of time. For instance, an American citizen who married a French citizen can be made eligible for French citizenship, which will be like dual citizenship.
- By Investment
There are numerous nations with “citizenship-by-investment” schemes where individuals can acquire citizenship by making an economic investment, such as purchasing real estate or investing in a national development fund. There are such schemes offered by nations such as Malta, Turkey, and Grenada. These provide a fast track to dual nationality for the wealthy.
- By Descent
Individuals with ancestry from a country that practices citizenship by descent (jus sanguinis) can qualify for dual citizenship even if they weren’t born in the country. It is possible for an American citizen with an Irish grandparent to become Irish by the country’s descent law and thereby gain dual nationality.
How to Apply for Dual Citizenship
In a bid to gain dual citizenship, you will have to proceed with the process defined by the nations involved. Such a procedure may be very different, depending on the nation and the purpose for citizenship. Following are some generic procedures involved:
- Research Eligibility: Learn the nations’ law and whether or not you fit their dual citizenship eligibility.
- Collect Documents: Obtain necessary documents such as birth certificates, proof of lineage, marriage certificates, and other supporting documents.
- Submit Forms: Each country has a different form-filling process for acquiring citizenship. You need to submit forms with the relevant immigration offices.
- Interviews or Tests: Interviews or tests of language/civic knowledge are needed by some countries as a part of the citizenship procedure.
- Take Oath of Allegiance: In foreign countries, you will be asked to take an oath of allegiance to your country of adopted citizenship.
Balancing Dual Citizenship Duties
Balancing dual citizenship responsibilities requires paying close attention to detail. These are some top tips:
- Stay Informed: Inform yourself regarding any changes to the laws of both countries, especially concerning taxation and military service.
- Maintain Valid Documentation: Both your passports and other documents used for traveling should remain valid for both countries.
- Be Open: Always disclose both citizenships upon entering or leaving nations to prevent issues from immigration officials.
- Get Professional Guidance: Immigration lawyers, taxation specialists, and embassy staff can offer valuable guidance when handling complicated situations caused by dual citizenship.
Balancing Dual Citizenship Duties
Balancing dual citizenship responsibilities requires paying close attention to detail. These are some top tips:
- Stay Informed: Inform yourself regarding any changes to the laws of both countries, especially concerning taxation and military service.
- Maintain Valid Documentation: Both your passports and other documents used for traveling should remain valid for both countries.
- Be Open: Always disclose both citizenships upon entering or leaving nations to prevent issues from immigration officials.
- Get Professional Guidance: Immigration lawyers, taxation specialists, and embassy staff can offer valuable guidance when handling complicated situations caused by dual citizenship.
Balancing Dual Citizenship Duties
Dual citizenship opens up a world of potentiality — increased international mobility, access to more services, economic advantages, and a safety net in the face of political or economic turmoil. But privilege comes with great burden, including taxation, legal problems, and conflicts of loyalty.