Americans renouncing US citizenship surged sixfold, to 1,131, in the second quarter from a year earlier as the government prepares to enact tougher asset-disclosure rules.

The US, which taxes citizens wherever they reside, is searching for cheats off-shore, including those in Switzerland, as it tries to curb the budget deficit. And thanks to the Foreign Account Tax Compliance Act, more of the estimated 6 million Americans living overseas are rethinking holding a US passport.

Fatca requires foreign financial firms to report information to the IRS about financial accounts held by US taxpayers or by foreign entities in which US taxpayers hold ownership interest.