Certain formal requirements must be satisfied to abandon one’s green card. Specifically, the abandonment of a green card will not terminate the alien’s resident alien status for federal income tax purposes unless the abandonment is officially recognized by the U.S. immigration authorities. This, in turn, requires either an administrative or judicial determination. As a consequence, if the resident alien simply ceases using the green card (without first informing the U.S. immigration authorities) and allows it to become invalid via the mere passage of time, then he or she will continue to be classified as a resident alien for U.S. tax (and for information reporting purposes).

You may abandon your permanent resident status at a U.S. Consulate or Embassy, or even at the airport in front of a U.S. Customs and Border Protection Officer. Each U.S. Consulate or Embassy has its own abandonment procedure, but both methods require that form I-407 be completed, and witnessed by a U.S. government official. A Green Card is effectively revoked or rescinded for tax purposes when a final administrative or judicial order of exclusion or deportation is issued.