US citizen with my 90 days almost over - if I leave Italy and go to Croatia and back to Italy will my 90 days reset?

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Unlike the US, Schengen doesn't have the notion of your "90-day period," and there's never anything to "reset" at some threshold. The Schengen rules are that you may not be in the Schengen area for more than 90 days in any 180-day period without a long-stay visa. It doesn't matter how long your stays are or where you go in between; what matters is the total number of days you're there out of 180 days. If you just spent 90 straight days in the Schengen area, it doesn't matter where you go next, but you can't reenter for 90 days. The only legal way around this is a long-stay visa.

As for consequences: I can't speak to practical border enforcement, but in general it's best to not be breaking the law in the hopes that you don't get caught. Especially if you intend to apply for a long-stay visa later, they may well give more scrutiny to your travel record, and overstays can make them worry that you won't leave when your long-stay visa is up.

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