Exclusive Citizenship Act of 2025: What it means for dual citizens

The Exclusive Citizenship Act of 2025, introduced by Senator Bernie Moreno in December 2025, would ban dual citizenship for Americans. Even so, legal and policy experts give it about a 3% chance of passing. Constitutional limits, real-world enforcement problems, and weak bipartisan support make it very unlikely. Dual citizenship is still fully legal today.

For a broader background on dual nationality and where it is allowed, see our complete guide to countries that accept dual citizenship.

This article by Taxes for Expats explains the key details of the Dual Citizenship Bill 2025, why the Exclusive Citizenship Act is unlikely to become law, and what dual citizens should realistically expect next. It also outlines what actions, if any, would be required under the proposal and why most people do not need to act now.

Finally, it reviews the possible US tax consequences, including Form 8854 and exit tax rules, only if the bill ever passed and citizenship were given up, despite recent headlines about Sen. Bernie Moreno and citizenship.

What does the Exclusive Citizenship Act of 2025 propose?

The Exclusive Citizenship Act of 2025 seeks to ban dual citizenship for all US citizens. It would require current dual citizens to give up one nationality within one year, remove US citizenship from anyone who later naturalizes elsewhere, and set up a federal registry to track dual citizens.

At its core, the exclusive citizenship act is about one idea – loyalty to only one country. The bill uses the phrase “sole and exclusive allegiance” to describe what it expects from every US citizen. In simple terms, holding two passports would no longer be allowed if this proposal became law.

1. Ban on dual citizenship for all US citizens
   Anyone holding both US citizenship and another nationality would be affected.
2. One-year deadline for existing dual citizens
   People who already have two citizenships would get one year to choose which one to keep.
3. Automatic loss of US citizenship for future naturalizations
   Under the proposal, a US citizen who voluntarily acquires foreign citizenship after the date of enactment would be treated as having relinquished US citizenship. The bill frames this as an automatic loss, although such a provision would likely face constitutional challenges under existing Supreme Court precedent.
4. Declaration and recordkeeping requirements for dual citizens
   The bill directs the Secretary of State to create procedures for “declaration, verification, and recordkeeping” of exclusive citizenship, and to coordinate agency recording for immigration treatment.

Those who do not register or comply could be treated as “aliens” under immigration law.

The legal standard behind this system is “sole and exclusive allegiance” to the United States.

NOTE! Introduced by Senator Bernie Moreno (R–OH) in December 2025. As of December 18, 2025, the bill has 1 cosponsor: Sen. Roger Marshall (R-KS), but has not moved out of committee. This Bernie Moreno bill has not become law.

Timeline if enacted

• Existing dual citizens would be required to choose one citizenship no later than one year after the date of enactment.
• The law would take effect 180 days after enactment, which means the compliance window would effectively be about six months after the effective date, not a full year after it.
• As written, the bill provides approximately 12 months from enactment, not 18 months, for existing dual citizens to comply.

For US expats, this proposal does not change anything today. It does, however, explain why the Exclusive Citizenship Act is drawing attention among dual citizens who want clarity, stability, and time to plan before any rules change.

Who would be affected by the Dual Citizenship Ban?

If passed, the bill would affect approximately 8-10 million US citizens with dual citizenship, including Americans living abroad, naturalized US citizens who kept their original citizenship, and accidental Americans born on US soil to foreign parents.

This proposal does not target a small or unusual group. It reaches into everyday lives across borders, families, and careers. The people most affected fall into three clear groups, each facing different but serious consequences if the law were enacted.

Existing dual citizens abroad

Many existing dual citizens abroad look like this: someone born in the US who later built a full life overseas and took local citizenship to keep working, staying, and owning a home without limits.

• Americans who naturalized in another country (UK, Canada, Germany, etc.)
• Would face a choice: keep US citizenship or foreign citizenship
• Impacts residency rights, work authorization, and property ownership abroad
• Estimated 5-6 million US citizens living abroad, many with dual status

Naturalized Americans in the US

A naturalized American is often someone who moved to the US years ago, became a citizen, and stayed connected to their birth country by keeping their original passport, which is central to concerns about who would be affected by a dual citizenship ban.

• Foreign-born individuals who became US citizens but kept their original passports
• An estimated 3-4 million people
• Would need to renounce birth country citizenship
• Impacts family ties, property rights, and travel to their country of origin

Accidental Americans

Accidental Americans are often unaware of their status, such as people born in a US hospital to foreign parents who left shortly after birth and grew up entirely elsewhere.

• Individuals born in the US to foreign parents, raised abroad, with minimal US ties
• Never lived in the US as an adult, don't identify as American
• Would be forced to choose despite not actively claiming US citizenship
• Most vulnerable to constitutional challenge (lack of voluntary intent)

Why the bill is unlikely to become law

Legal and political experts estimate only a 3% probability of passage. The bill faces three insurmountable barriers: conflicts with Supreme Court precedent on citizenship rights, administrative impossibility at the consular level, and complete lack of bipartisan political support.

This matters for US expats and dual citizens because headlines can sound urgent even when the reality is not. Looking at how the US law, government systems, and Congress actually work makes it clear why this proposal is unlikely to move forward.

1. Constitutional barrier: Supreme Court precedent

Afroyim v Rusk (1967) is the Supreme Court case that protects US citizens from losing citizenship against their will. The Court ruled that Congress does not have the power to strip citizenship unless the person clearly chooses to give it up.

That ruling still controls how citizenship law works today. Any law that causes automatic loss of citizenship without a clear, voluntary choice runs straight into this decision.

Vance v Terrazas (1980) made the rule even stricter. The Court said the government must prove a person intended to give up US citizenship, not just that they took an action that could be interpreted that way.

Intent matters more than paperwork. Missing a deadline or failing to file a form does not equal choosing to give up citizenship.

NOTE! Courts treat citizenship as a protected right, not a privilege that expires.

• The bill’s 1-year deadline tries to label inaction as “voluntary relinquishment,” but Terrazas requires real intent.
• Legal scholars say courts would reject this approach unless decades of precedent were overturned.
• Automatic loss of citizenship directly conflicts with the Afroyim ruling.

2. Administrative impossibility

Even if the legal problems did not exist, the bill runs into a hard reality problem.

That data comes from just one embassy in Belgium. It shows how slow and careful the process already is, even without new laws.

Expanding this process to millions of dual citizens within a 1-year window is not realistic. Many people would lose citizenship simply because they could not get an appointment, not because they chose to give it up.

3. Political reality: No bipartisan support

The political side of the bill shows the same weakness. This is another reason why the bill won't pass despite the attention it has received.

1. Single-senator sponsorship: Only Sen. Bernie Moreno is listed as a sponsor.
2. Zero original co-sponsors: Congress.gov showed none when the bill was introduced.
3. No momentum: As of January 2026, there is only 1 current co-sponsor, which is not enough to move legislation.
4. Stalled in committee: The bill remains referred to the Senate Judiciary with no hearings scheduled.
5. No House companion bill: There is no matching proposal in the House of Representatives.

Bills that restrict citizenship have been proposed before and have failed for similar reasons. They carry high political risk, affect millions of voters, and invite constitutional challenge that can last for years.

For lawmakers, supporting a bill that could force citizenship loss on US expats and dual citizens is a high-cost move with very little upside.

Ignore the noise – focus on your current dual citizenship tax obligations

Learn more

What would happen if the bill passed?

If enacted (highly unlikely), existing dual citizens would have approximately 18 months to decide which citizenship to keep. The choice involves weighing US tax obligations and passport benefits against foreign residency rights and family ties.

NOTE! Before making any citizenship decisions, understand the full implications in our guide: Countries that accept dual citizenship.

Option 1: Keep US citizenship (renounce foreign)

For people watching what happens if the bill passes, choosing to keep US citizenship can mean giving up rights tied to another country. This option often affects daily life abroad more than expected, especially for long-term residents.

• May lose permanent residency rights in the country of residence
• Work authorization potentially revoked (dependent on visa status)
• Property ownership restrictions in some countries
• Loss of local healthcare and pension system access
• May need a visa to visit the country of former citizenship
• Cannot pass citizenship to children born after renunciation

Option 2: Keep foreign citizenship (renounce US)

This is the path often discussed when people talk about renouncing US citizenship, especially among long-term US expats.

Consequences of renouncing US citizenship:

• May include completing Form DS-4079 or related documentation, and paying the current $2,350 State Department fee, subject to official procedures in effect at the time.
• Expatriation tax rules apply (see below for details)
• Lose US passport and visa-free under the Visa Waiver Program (ESTA) benefits
• Need a visa to enter the United States (B-1/B-2 tourist visa typically)
• Cannot vote in US elections or hold federal jobs
• Lose eligibility for US Social Security benefits (unless already qualified)
• Cannot transmit US citizenship to future children

This decision can feel final and emotional, so many people want clear facts before moving forward.

Option 3: Do nothing

The bill treats non-compliance as a voluntary relinquishment of US citizenship. After the 1-year deadline, US citizenship would be lost automatically. Courts are unlikely to support this outcome without a clear voluntary act, which makes this the most legally vulnerable part of the proposal.

Tax implications: Exit tax and expatriation rules

The tax impact only appears if someone is pushed into giving up citizenship, because the Exclusive Citizenship Act of 2025 does not change how US taxes work. All current expatriation tax rules stay in place, but more dual citizens could be forced into a final filing year and Form 8854 process, even if that was never their plan.

NOTE! The bill does NOT change existing expatriation tax law. It would simply force people into an expatriation scenario who otherwise wouldn't choose it.

Covered expatriate status

Covered expatriate status is a legal label that applies when any one of the tests below is met.

1. Net worth test: Worldwide assets $2 million, including retirement accounts, home equity, and foreign property.
2. Tax liability test: Average annual net income tax for the prior 5 years ≥$206,000 (2025).
3. Certification test: Failed to certify 5 years of US tax compliance on Form 8854.

An exception exists for people born with dual citizenship who meet specific residency and tax conditions, and this protection only works when the paperwork and records are complete.

Exit tax calculations

Once someone is treated as covered, the expatriation tax uses a mark-to-market system that assumes assets were sold just before citizenship ended.

NOTE! The 23.8% tax rate is only a common estimate, not a fixed rule, and some people or assets may be taxed differently. When it comes to retirement or pay plans, some payments may have 30% tax taken out, but not all retirement accounts are taxed the same way.

Exit tax can be costly – read this before any renunciation

Learn more

Planning considerations if the bill is advanced

Planning only becomes relevant if the bill actually moves forward, because timing controls how the expatriation tax applies. Leaving before any law change would keep control in the individual’s hands instead of forcing decisions around a deadline.

Some people may look at reducing future exposure by shifting assets or using losses to offset gains. When a non-US spouse is involved, the ownership structure can affect how much value is pulled into the mark-to-market calculation.

Retirement accounts are often the most misunderstood part of renunciation tax consequences, especially the 30% withholding rule. Given how unlikely the bill is to pass, no action is needed now unless real legislative progress occurs.

What should dual citizens do now?

As of January 10, 2026, the Exclusive Citizenship Act of 2025 (S.3283) is only a proposed bill. It has been introduced and sent to the Senate Judiciary Committee, but it is not law, and nothing has changed today.

Do nothing regarding the bill itself – it is extremely unlikely to pass. However, dual citizens should ensure tax compliance regardless of this legislation. Five years of clean tax filings are essential for any future scenario, including voluntary renunciation.

Step 1: Do not renounce citizenship based on this bill. Introduced on December 1, 2025, it has not moved beyond committee and is widely viewed as having around a 3% chance of becoming law.

Step 2: Understand that even if passed, the bill would face immediate legal challenges. Laws that force loss of citizenship have historically triggered constitutional disputes.

Step 3: Remember that renunciation is permanent. The State Department fee is $2,350, and the decision cannot be reversed.

Step 4: Be aware of tax consequences tied to renunciation. Exit Tax exposure can reach hundreds of thousands of dollars for high-net-worth individuals.

Step 5: Stay current with US tax filings. US citizens generally file annual returns reporting worldwide income, even while living abroad.

Step 6: File required information forms on time. FBAR (FinCEN Form 114) applies when foreign accounts exceed $10,000, and Form 8938 (FATCA) applies once foreign assets pass IRS thresholds.

Step 7: Keep five years of clean tax compliance. This is required on Form 8854 to avoid covered expatriate status if renunciation ever occurs, and Streamlined Filing Compliance Procedures can help if filings are missing.

Step 8: Monitor credible sources only. Congress.gov provides official bill updates, and even under the proposal, there would be a 180-day delay plus a one-year window, giving at least 18 months to plan.

Dual citizenship in Congress

Some debate exists around dual citizenship in Congress, but the Constitution only sets age and citizenship rules for federal office and does not ban holding another nationality.

For Presidents, the rule is being a natural-born citizen, and for lawmakers, it is being a US citizen for seven years in the House and nine years in the Senate, which is why dual citizenship in Congress has always been allowed under federal law.

Security access can differ based on role and committee work, and federal clearance rules look at foreign citizenship and passports.

If the Exclusive Citizenship Act of 2025 were enacted, its 180-day effective date and one-year “choose one” rule would force any dual-national lawmaker to renounce, an outcome critics note could affect supporters of the bill as well.

NOTE! This context is relevant because debates about dual citizenship in government positions sometimes fuel legislative proposals like the Exclusive Citizenship Act.

Bill timeline if enacted (hypothetical)

NOTE! This timeline is hypothetical. With about 30,000+ renunciation backlog and about 5,000 processed per year, agencies could not meet these deadlines, and courts would likely block automatic citizenship loss.

Conclusion

Some debate exists around dual citizenship in Congress, but US law does not prohibit holding another nationality.

The Constitution sets only age and citizenship requirements for office, which is why dual citizenship in Congress has long been permitted. This history explains why discussions about Congress members' dual citizenship continue to resurface during major legislative debates.

Concerned about dual citizenship tax obligations? Taxes for Expats provides trusted expat tax services for dual citizens, helping Americans abroad use FEIE, FTC, and tax treaties to reduce US tax liability.

FREE

Have you heard about the Dual Citizenship Bill 2025? Are you worried it affects you?

Talk through it – and your next steps today in a free call.

Schedule my free call