Internationalizing gives individuals more freedom to live outside of the limitations imposed upon them by their 'home' country. No longer are individuals limited to the circumstances due to birthplace, but are free to create their 'second opportunity' through the many means afforded to them by more globally minded cosmopolitan countries. Economic citizenship or Citizenship by Investment is one such tool for increasing ones independence.
Individuals seeking offshore protection for their hard earned assets, must also consider the benefits in creating an 'offshore lifestyle', a lifestyle-free from the restrictions of a single country. No longer must one abide by travel restrictions, tax rates, governmental rules when one becomes mobile citizens by getting a second passport.
Many countries offer, such as Vanuatu or Nevis for instance, what can be coined as an 'offshore-citizenship'; which is a citizenship granted to individuals looking to reap all the lifestyle benefits that a second passport offers without having to actually live or reside in the respective country.
Having a second passport gives many benefits for those looking to liberalize their escape options. Whether ones is seeking to run from oppressive or overbearing governmental regimes, to be treated as a first class citizen, or would like to secure their future in a second opportunity, a second passport may be the option for you.
Who Needs a Second Passport?
A Second passport is generally for people who are looking for an alternative passport, fast. While there are a few other ways to get a second passport, whether that is through naturalization after being a resident for x number of years (which takes awhile) or family blood (not all of us are so fortunate) a citizenship by investment is immediate (60-90 days) and is the next best option if you can afford it.
Those who are looking to get a second passport are those who (1) come from politically or economically unstable countries, who perhaps at the stroke of a pen can be thrown in jail and their assets seized. Living in any autocratic country or even one that has severe capital controls can be a little unnerving when institutions have such much power of you.
If you are (2) an American citizen looking to renounce their citizenship, and move to a country where there are more relaxed tax codes then having a second passport is a necessity. Americans are increasingly renouncing their citizenship. And those numbers are climbing, as last year (2018) more than 5,000 Americans decided they had enough.
Being (3) a citizen of a country where there are significant travel restrictions and less visa-free travel opportunities. Not everyone has access to a Japanese passport, who now hold the worlds most powerful passport, with visa free travel to 190 different countries. If you are a citizen of Russia, China or Nepal, you are ranking much lower down, and looking at numbers around 118, 76, and, 51. ouch.
(4) Anyone looking to effectively re-sructure their tax debt, a second passport option can open up the door to significant tax reductions. Its much harder to reside in a high-tax jurisdiction and effectively eliminated your taxes - even with a company in an offshore jurisdiction. A decade ago, this was more common practice, however, with all the tax information sharing, governments are much more keen on closing those loopholes. To eliminated your tax burden, you have to move more than just your assets.
(5) Anyone looking for a Plan B, an insurance against the state, a second passport firmly internationalizes your standing and frees you and (if you have a properly structured offshore company and bank account) your assets from the grip of any institution or state agency. Freedom from the confines of any single system is a invesment options that we not often consider. Though we might diversify our investment portfolio across different countries or region, little do we think of diversifying ourselves - and our obligations to the state.
Advantages of a Second Passport
- Visa free travel opportunities
- Greater freedom of movement
- Protects from governmental control
- Business benefits
- Tax benefits
- Internationalization options
However, there are several things one should consider before deciding to apply for a second passport.
- Reputation - How is the country perceived/foreign relations?
- Taxes - Does the country offer tax reduction incentives?
- Visa free travel - Does the second passport enable greater freedoms for visa-free travel? Access to US, UK, EU?
- Restrictions - Does the country allow me to carry more than one passport?
After asking yourself these questions, if you are unsure or have uncertainties and would like a consultation, please contact us.
Having a second option in todays world is not just a luxury, but is a necessity; A plan-B is not just for the few, but for the many.
Differences Between A Passport, Residency and Citizenship
International Travel Document issued by a government for identity and citizenship declaration allowing individuals to travel in countries that have favorable relations with a certain level of protection from unlawful persecution.
While having a second passport is often talked about, what is really meant is having a second citizenship, which a passport exemplifies, as a passport is just a travel document while a citizenship is something which grants one certain rights and protections granted to them by the issuing governmental authority. Having a second passport is allowed by many countries, but it should always be researched whether or not dual nationality is allowed.
There are several ways to get a second passport. While we offer Citizenship by investment programs that offer second passports to individuals who have the economic investment capability, there are several other ways to get a second passport through:
- (1) Naturalization - after a certain number of years residing within the country
- (2) Ancestry - tracing ones familial roots and bloodline
- (3) Social - marriage, having a child, etc...
- (4) Investment - economic citizenship
Having a second citizenship gives one the advantage of being recognized as a citizen of a second country in which the individual is afforded the same benefits, protections and rights in a second country. Depending on the country benefits include social services, health care, tax free status etc...
Having dual-nationality gives one the options to reside permanently in two jurisdictions together with two passports.
Residency gives one the benefit of being legally allowed to reside within a given country without the need to apply for a visa or leave after the duration of their visit, as well as being able to access services usually restricted for permanent residents. One can however, have residency status without actually having to physically reside within the country. Residency status also gives the individual the option to later apply for citizenship status through a naturalization process.
Despite ones nationality, there are many ways to transcend this narrow definition by increasingly ones global positioning through many means that are available. To learn more about these possibilities please contact us.
For more information on our 2nd Passport options through Citizenship by Investment: