Accidental American? It's more fixable than it feels.
Born in the US, or to an American parent, and only discovering decades later — usually via a bank letter — that the IRS considers you one of its own. The panic is normal. The fix is standard.
The bank letter is not a penalty notice
UK banks must ask about US indicia under FATCA, and the letter means your account is reportable — not that you are in trouble. But it does start a clock: the clean-up routes are only available before the IRS reaches out first.
For almost everyone in this position, the Streamlined procedures deliver a clean slate: 3 years of returns, 6 of FBARs, and — filing from abroad — no penalties.
- Confirm whether you are actually a US citizen
- Streamlined filing to get compliant, penalty-free from abroad
- Handling the bank's FATCA questions properly
- A realistic view of what you'll actually owe — often nothing
Keep it or renounce it — informed
Some accidental Americans get compliant and carry on; others renounce. Renunciation requires tax compliance first and has its own exit-tax tests, so the order of operations matters. We lay out both routes with real numbers so the decision is yours, made calmly.
What we typically handle for you
- Confirmation of whether you are actually a US citizen
- Exposure assessment before anything is filed
- Streamlined package: 3 returns + 6 FBARs
- Form 14653 certification drafted with you
- Bank FATCA letters answered properly
- Realistic tax estimate — often zero
- Renunciation route mapped with real numbers
- Forward plan if you keep the citizenship
The services that usually apply
Questions we get about this
Usually a bank does. Under FATCA, foreign banks identify US-linked customers and report them, which is how most people discover the obligation.
It is generally better to come forward than to be identified, because the routes back are more generous to those who volunteer.
It tends to surface eventually - at a mortgage application, an inheritance, or when a bank refuses an account.
Ignoring it also removes the non-wilful argument over time, which is the very thing that makes the fix cheap.
There is a government fee, and the process requires certifying five years of tax compliance, so getting current comes first regardless.
The exit tax only applies if you cross certain thresholds, which many accidental Americans do not.
If you hold US citizenship, generally yes, even if you left as an infant and have never worked there. The obligation follows citizenship rather than residence.
It is a genuinely unfair surprise for a lot of people, and it is also a very common one.
The Streamlined programme is designed for exactly this: non-wilful failure to file, brought current with three years of returns and six years of FBARs. Penalties are waived outright on the Foreign route, for people living abroad; the Domestic route charges 5% of the highest aggregate value.
Not knowing the obligation existed is the archetypal non-wilful case.
Some people do, but it is not a shortcut. You must certify five years of tax compliance as part of the process, so getting current comes first either way.
There is also an exit tax regime for those who cross certain thresholds, which is worth modelling before deciding.
Last reviewed . Thresholds and rates change annually — check figures against the current tax year before relying on them.
Just found out you are a US taxpayer?
It is a common position and usually a fixable one. The first call is free and confidential.