Europe's news in English

COPY LINK

AMERICANS IN ITALY

Americans in Italy: How does US citizenship-based taxation impact you?

The United States - almost uniquely in the world - operates citizen-based taxation, and this can have serious consequences for Americans who live abroad. Tell us how you are affected and what advice you have for fellow Americans in Italy.

Published: 30 November 2023 17:13 CET
Updated: 5 December 2023 12:03 CET

Americans in Italy: How does US citizenship-based taxation impact you?

The Internal Revenue Service (IRS) headquarters in Washington, DC. (Photo by MANDEL NGAN / AFP)

You might have lived outside the US for years, even decades, but that doesn’t mean that you escape the clutches of the IRS.

Citizen-based taxation, coupled with the US’ FATCA legislation, can have a serious impact on Americans in Italy, affecting everything from completing tax declarations, the type of investments you can make and even whether you can open a bank account.

The Local would like to hear from American readers in Italy about their experiences with citizenship-based taxation and FATCA and what – if any – problems it creates for you. Plus we’d like to get your advice for other Americans.

Please take a moment to fill out the survey below. If it doesn’t appear click here.

Member comments

Log in here to leave a comment.

Become a Member to leave a comment.

How to quickly get a US passport for a child born in Italy

You’ve left the United States and moved to Italy. Now, you’ve added a baby to this exciting new life. You’ll want to secure their US citizenship and passport straight away.

This article lays out the qualifications for a US passport and the steps to get one. Fortunately, the process is fairly simple, according to people who have done it.

Does your baby qualify for a US passport?

Your newborn qualifies for US citizenship and a US passport under the following conditions:

They were born within wedlock to two US citizen parents.
They were born within wedlock and one of the parents is a US citizen who lived for at least five years in the United States, two of which were after age 14.
They were born out of wedlock to a US citizen mother who lived for at least five years in the United States, two of which were after age 14, and a non-citizen father.
They were born out of wedlock to a US citizen father who lived for at least five years in the United States, two of which were after age 14, and non-citizen mother, provided certain additional requirements are met.

READ ALSO: How to renew your American passport in Italy

When the parent who is a US citizen is the father and the baby is born out of wedlock, there are a few extra steps required.

You’ll attain a sworn statement from the father agreeing to give financial support until they are 18 years old and supply a written statement acknowledging paternity.

If your child does qualify for American citizenship, the next steps are pretty straightforward, although completing the required forms can be time-consuming.

What are the first steps when applying for a child’s US passport from Italy?

The first step is applying for a Consular Report of Birth abroad (CRBA), which documents that your child is a US citizen at birth. Any of the US Consular Agencies in Rome, Milan, Florence or Naples can accept applications for Consular Reports of Birth Abroad (CRBA) and US passports.

To begin, you’ll apply online. But remember, you’ll need original copies of any documents you upload; you’ll bring these to your in-person appointment at the consulate.

Documents you’ll need include:

Your child’s original Italy birth certificate with both parents’ names, along with two photocopies.
Your original marriage certificate, if married, plus one photocopy.
Your original divorce certificate, if divorced, plus one photocopy.
Valid original passport/identification document for each parent, along with two photocopies.
Proof of US citizenship, such as a passport, birth certificate, or Certificate of Naturalization, for the US parent(s), plus copies.
Proof of physical presence in the United States for the US parent(s), in the form of documents such as school records, university transcripts or employment records.

All foreign-language documents must be accompanied by a simple English translation that does not need to be certified.

In Italy, you can submit your CRBA application and pay the $100 processing fee online, following the specific instructions for the consulate where you want to schedule your in-person appointment.

READ ALSO: What to do if you lose your passport while travelling in Italy

You’ll then be contacted within five business days with a date and time for your interview. You’ll need to bring the originals and photocopies of all the documents listed above, as well as a completed DS-2029 form.

To apply for a US passport for your child at the same time as the CRBA appointment, you’ll need to bring a completed DS-11 (passport application) form and, if in Rome or Naples, a completed SS-5 (social security card application) form.

You’ll need to bring original copies and photocopies of the following documents:

One 2”x2” (5x5cm) passport picture for your child.
Identification for both parents.
A physical copy of the completed passport application form (DS-11).
Anything else your consulate tells you to bring (such as completed SS-5 form in Rome or Naples).

You’ll need to pay the $135 under-16s passport application fee via cash or card at the appointment.

Important considerations:

For the CRBA, the US parent(s) must report their physical presence in the United States, detailing each trip abroad. In other words, it’s crucial you don’t include time abroad in your list of days staying within the United States. If the dates are incorrect, the processing could be suspended until you correct the dates.

It’s very important for both listed parents to attend the appointment. If only one parent can attend, you’ll need to submit a notarised DS-3053 Statement of Consent from the absent parent. If you have sole legal custody of your child, you’ll need to bring proof, such as a court order.

Bring your child’s passport photo in a separate envelope (to not lose it) but don’t staple it to the passport application.

How long does it take?

Once your application and interview are complete, it takes around 15 working days for Italy’s US consulates to process a CRBA and first passport.

If you have questions, don’t be shy about contacting your consulate for clarification.

Congratulations on your multinational family!

Url copied to clipboard!