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Dual Citizenship: Advantages and Disadvantages

Dual Citizenship: Advantages and Disadvantages

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Anastasia Voronaya
19 September 2024
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A second passport expands the civil rights of its holder, and there are at least five legal ways to obtain one today. An additional passport allows legal residence, work, study, and access to medical care in the second country of citizenship. Moreover, it grants visa-free access to countries that have relevant agreements in place. It is easier to open bank accounts, register businesses, and conduct international affairs. However, each state has obligations that citizens must fulfill.

When applying for a passport from a second country, a person obtains the status of a citizen; however, it is important to distinguish between “dual citizenship” and “second citizenship.”

The choice of second citizenship must be made carefully, as each country has different legal norms, which come with both advantages and disadvantages.
Gulnara Salikhova, Migronis Expert

Dual Citizenship

This status can be obtained if the country of the first citizenship has a mutual recognition agreement with another state regarding passports. For example, Spain has such an agreement with Latin American countries, and Russia has one with Tajikistan. A person who obtains additional citizenship is referred to as a bi-national.

Advantages of Dual Citizenship

  • Both states mutually recognize your passports: you are officially considered a citizen of two countries.
  • You can legally enjoy the rights of a citizen: reside, work, study, and receive medical care in both countries.
  • You can cross state borders without a visa at any time and benefit from visa-free or simplified travel regimes for both countries for work and tourism.
  • You can choose in which of the two countries to pay taxes, provided you have official employment or residency there.
  • Military service obligations are fulfilled in only one country, or may be entirely waived if there is no mandatory military conscription in the country.
  • A bi-national can influence the political situation in both states and has the right to vote in elections.
  • A holder of dual citizenship can benefit from the protection of both states; when on the territory of a third country, they can choose which of their countries’ protections to utilize.

Disadvantages of Dual Citizenship

  • This status can be offered by a limited number of countries that have signed agreements with each other.
  • Often, the state with which your country has an agreement may not provide attractive privileges.
  • A bi-national does not have the right to run for public office, including positions such as judge, prosecutor, or employment in intelligence services or the police.
  • New obligations may arise depending on the laws of your second country, such as mandatory health insurance for access to medical services.
  • Pension and other social benefits are granted only in one of the states.

But in any case, during times of ‘turbulence,’ you can rely on the fact that there is at least one more jurisdiction that can accept you as a citizen.
Gulnara Salikhova, Migronis Expert

Complete list of countries where dual or second citizenship is allowed

Second Citizenship

If your state does not have agreements with other countries but does not strictly prohibit obtaining an additional passport, you can acquire second citizenship. For this, you need to apply to another country for citizenship by descent, naturalization, or obtain citizenship through investment. In this case, both countries will recognize you only as their citizen and will not acknowledge your second passport on their territory; however, you can enjoy the privileges of both documents abroad at your choice.

For example, this is the current situation in Ukraine, although a draft law on multiple citizenship has already been submitted to the Verkhovna Rada. Lithuania is also trying to expand the rights of its citizens, but a lack of votes in the referendum has so far prevented the adoption of multiple citizenship.

By choosing the optimal citizenship, you open up advantages such as visa-free travel, the ability to open bank accounts, and businesses in jurisdictions with much more attractive conditions for doing business than in the first country of citizenship.
Gulnara Salikhova, Migronis Expert

Advantages of Second Citizenship

  • You can enjoy the rights of both states, such as residence and work, visa-free travel or obtaining a visa to the USA, which is inaccessible to many, education, and healthcare. For example, with a Maltese passport, you are allowed to reside in any EU country.
  • The process of obtaining a passport is completely confidential; in most cases, countries do not inform each other.
  • With some exceptions, citizenship is usually passed down by inheritance, allowing you to secure a better future for your children.
  • Diversification of your life brings benefits such as increased financial privacy, secure asset preservation, and expanded investment options. Additionally, you can develop your business under more attractive conditions and enjoy a stable future for your family, along with a higher standard of living or lower costs.
  • In cases of political persecution or legal proceedings in your country of first citizenship, you can avoid punishment, as the second state will not extradite its citizen.
  • By choosing a country with simplified taxation for your second citizenship, such as one of the Caribbean nations, you can significantly reduce your tax rates, though you will need to become a tax resident, meaning you must reside there for at least 183 days a year. However, there are exceptions:

In the USA, for example, citizens are obligated to pay taxes regardless of their place of residence.
Gulnara Salikhova, Migronis Expert

Disadvantages of Second Citizenship

  • Each country of your citizenship considers you solely its citizen.
  • Obtaining a passport from a new state may jeopardize your existing citizenship, depending on your home country's laws. In some cases, you could lose your original passport.
  • In cases of diplomatic or political disputes between countries, a person with dual citizenship may find themselves in a difficult situation if the countries require loyalty or services.
  • The government of one state cannot provide you with diplomatic protection while you are on the territory of the other.
  • You may need to pay taxes to the treasury of both countries, and in some cases, the rates in the state of first citizenship increase if the bi-national moves to another country; military obligations also apply in both.

The term “cosmopolitanism,” introduced by Socrates in Ancient Greece, is no longer purely philosophical today. A conscious choice of a second passport, as opposed to its automatic acquisition at birth, reflects progressive views and responsible management of one’s life. This is not about patriotism, but about concrete tools that help make various aspects of life more convenient, advantageous, protected, or stable.

Map

Рrohibition of a second passport

Some countries, such as Kazakhstan, Austria, China, and India, have strict prohibitions against dual citizenship. Penalties for violating this law vary worldwide, ranging from simple non-recognition of a second passport within their territory to criminal charges and revocation of the first citizenship. However, it is worth noting that only in a few countries are citizens legally obligated to inform their government about obtaining documents from another country.

Citizens of these countries who wish to gain additional freedoms and privileges will have to renounce their first passport. However, there is also the possibility of obtaining residence permit in another country, which is not prohibited by law and does not lead to the loss of their citizenship.

Check out the material on Portugal “Golden Visa” to learn more about opportunities of residency through investment.

Prospects for Multiple Citizenship

Just 60 years ago, the European Council signed the so-called “Strasbourg Convention,” which mandated punishing citizens who voluntarily obtained a passport from another country by revoking their first citizenship. At the same time, businessman and investor Harry Schultz publicized ideas that the connection between a citizen and the state, based on rights and obligations, cannot be the only valid and mandatory one. In other words, he promoted cosmopolitanism and the individual's right to choose where to live. This gave rise to the Flags Theory.

Map and flags of the world

In the past, a passport was seen not only as a testament to self-identity but also as a manifestation of a citizen's political loyalty. Today, progressive countries are moving away from strict restrictions. In Europe, the normalization of multiple citizenship is becoming a common trend. Of course, some conservative states still hold outdated views. For example, Austria and the Netherlands remain full participants in the Strasbourg Convention, albeit in its softened version from 1993. Even the main conservative force in the European Union, Germany, which previously required individuals to renounce their first citizenship when obtaining a German passport, is fundamentally changing its system. The Bundestag has already supported a bill to facilitate the acquisition of dual citizenship.

Today, a second passport is no longer a luxury. It is a standard tool for improving living conditions. Its main advantage is independence from the political and economic situation of a single state, its global standing, and its treatment of its citizens.

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