Facebook co-founder Eduardo Saverin has given up his U.S. citizenship, a decision that many observers believe is likely to reduce the massive tax bill he stands to receive following next week’s flotation of the social media company.
Saverin, a native of Brazil, became a citizen in 1998, six years after moving to the U.S.
“Eduardo recently found it more practical to become a resident of Singapore since he plans to live there for an indefinite period of time,” said Tom Goodman, a spokesman for Saverin, in a statement to Bloomberg. Goodman added that Saverin intends to invest in Brazilian and other global companies with interest in entering the Asian markets.
The Federal Register publishes a quarterly list of those who have voluntarily chosen to give up their U.S. citizenship, and Saverin appears on the most recent of these.
Facebook plans to price its IPO on May 17, offering 337.4 million shares at $28 to $35 each. Saverin holds 4 percent of the company, according to WhoOwnsFacebook.com, which at the high end of the valuation would be worth $3.4 billion.
Federal Register – Quarterly Publication of Individuals, Who Have Chosen To Expatriate
WhoOwnsFacebook.com – Eduardo Saverin
Bloomberg – Facebook Co-Founder Saverin Gives Up U.S. Citizenship Before IPO
Business Insider – GOODBYE, AMERICA: Billionaire Facebook Cofounder Renounces Citizenship
Forbes – Facebook Billionaire Gives Up Citizenship to Escape Bad American Tax Policy [opinion]
The Hill – Facebook co-founder renounces citizenship
New York Post – Facebook co-founder Eduardo Saverin renounces US citizenship ahead of IPO, possibly reducing tax bill