Exit tax: countries that charge you to leave
Country-by-country reference of departure taxes, deemed-disposition rules, and wealth-locking regimes that trigger when tax residency ends.
Last verified: 2026-04-24. Neutral reference — we take no referral fees or sponsorships.
"Exit tax" is an umbrella term for the various ways countries charge you — directly or indirectly — for ceasing tax residency with substantial assets in tow. Mechanisms differ: deemed disposal of unrealised gains, lock-in of pre-departure capital at home, expanded tax-residency shadow for a period after leaving, or outright departure levies. Here are the main regimes to plan around.
United States — §877A exit tax on renouncers
Triggers only on renunciation of US citizenship or long-term (8-of-15-year) green card status. If you are a "covered expatriate" (net worth > USD 2M, or average annual tax > USD 201,000 for 2024, or failure to certify 5-year tax compliance), your worldwide assets are deemed sold the day before expatriation. Gains above a USD 866,000 (2024) exclusion are taxed at normal rates. Deferred- compensation items and certain trusts are taxed differently. See exit tax and the US expat tax checklist.
Germany — Wegzugsteuer (§6 AStG)
Applies to individuals who have been German tax resident for at least 7 of the preceding 12 years and hold 1% or more in any corporation. On cessation of German residence, the unrealised capital gain in those shares is deemed realised and taxed at normal German rates. EU/EEA moves qualify for interest-free deferral subject to ongoing reporting; third-country moves require immediate payment or security. See Wegzugsteuer and German nationality tax obligations.
Netherlands — Conserverende aanslag
A "preserving tax assessment" issued when a shareholder with a 5%+ substantial interest in a Dutch company emigrates. The unrealised gain becomes payable, with automatic deferral for EU/EEA moves and security typically required for third-country emigrations. Similar preserving assessments attach to Dutch pension entitlements on departure. See conserverende aanslag and Dutch nationality tax obligations.
France — Exit tax on HNW individuals
Applies to residents who have been French tax resident for 6 of the last 10 years and hold portfolios above EUR 800,000 or 50%+ corporate ownership. Unrealised gains are deemed realised on departure. Deferral available under EU freedom-of-movement rules and for bona-fide moves pending a 2- or 5-year cancellation window if shares remain unsold. See France nationality tax.
Australia — Division 855 CGT on departure
Australian residents are deemed to dispose of certain CGT assets on ceasing Australian tax residence, except "taxable Australian property" (which remains subject to Australian CGT whether resident or not). Taxpayers may elect to defer the CGT event by treating the asset as taxable Australian property. Common among Australians relocating to the UAE, Singapore, or the US. See Australian nationality tax.
Canada — Deemed disposition on emigration
Most capital property is deemed disposed of at fair market value on the day of emigration, with any resulting capital gain taxed. Registered plans (RRSPs, TFSAs, RESPs) and Canadian real property are generally exempt from deemed disposition. Security may be posted to defer payment of the resulting tax until actual sale. The Canada-US treaty provides specific relief for moves to the US. See Canadian nationality tax.
Spain — Exit tax on 25%+ shareholders
Introduced in 2015. Applies to Spanish tax residents who have been resident in at least 10 of the prior 15 years and hold > EUR 4M in a single entity or > 25% share with value > EUR 1M. Unrealised gains on those shares are taxed on departure. Deferral for EU/EEA moves; third-country moves can trigger immediate tax.
UK — Departure + "shadow period"
No general exit tax on unrealised gains. But "Temporary Non-Residents" who return within 5 years are taxed on gains realised while abroad (targeted anti-avoidance). The 2025 non-dom abolition added a 10-year IHT tail post-departure for formerly long-term UK residents. See non-dom.
Israel — Deemed disposition for 10%+ shareholders
An Israeli tax resident holding 10% or more in a company who emigrates is deemed to dispose at departure. Practical elections allow deferral until actual sale, with tracking of pre- and post- departure gains.
Countries that do NOT levy exit tax
UAE, Singapore, Hong Kong, Switzerland (federal level — cantonal rules vary), New Zealand (no general CGT), Mexico (no exit tax), most Caribbean CBI jurisdictions. Territorial-tax countries typically do not tax on departure because they did not tax the foreign-sourced wealth in the first place.
Planning note
Exit-tax regimes usually pair with a look-back period (how long you've been resident) and a trailing extension (shadow period post-departure). A well-timed move that predates exit-tax thresholds by even 6 months can dramatically change the tax bill. Always model the exit-tax consequence before committing to a move, and obtain a private ruling where values are substantial.