The changes affect EB-5 applicants who are waiting to file their I-485 adjustment of status application.
By Blake Harrison, Senior Counsel, Investor Visa Practice
On March 15, 2022, President Biden signed long-anticipated EB-5 reform measures into law. One of the most significant changes under the new law is the ability to file Form I-526 and Form I-485 at the same time, which is commonly referred to as “concurrent filing.” Before the EB-5 Reform Bill was enacted, EB-5 investors had to wait for their I-526 petitions to be approved before filing for adjustment of status. Under the EB-5 Reform Bill, concurrent filing allows investors living in the United States on non-immigrant visas to apply for adjustment of status when filing their I-526 petitions. We expect that investors who filed their I-526 petitions before the EB-5 Reform Bill was enacted may also apply for adjustment of status prior to the adjudication of Form I-526.
Blake will be hosting a client workshop for clients who are impacted by this change next Wednesday 20 April at 11 am Eastern time. If you are not a Davies & Associates client, but think you might be affected by the changes to concurrent filing rules, you are also welcome to attend. Click here to sign up or contact us to discuss.
The EB-5 Visa Program is a route to US Permanent Residency by investment. The minimum required investment is either $800,000 or $1,050 million depending upon where the investment is made. The investment must create ten jobs and the source of funds must be legitimate and clearly documented. A single investment can include the applicant’s spouse and children under the age of 21.
This article is published for clients, friends and other interested visitors for information purposes only. The contents of the article do not constitute legal advice and do not necessarily reflect the opinions of Davies & Associates or any of its attorneys, staff or clients.External links are not an endorsement of the content.
The EB-5 Regional Center program lapsed last summer pending reauthorization by the United States Congress. Potential reauthorization could come as early as this week if it is combined with spending legislation due to be passed before this Friday, 11 March.
If EB-5 Regional Center reauthorization is added to the spending bill, and if the spending bill is passed, the EB-5 program will return, but with likely new rules.
What are the likely new EB-5 rules?
The most significant change in a reformed EB-5 Immigrant Investor Visa Program would be the investment amounts. The minimum investment requirement for EB-5 will increase to $800,000 in a Targeted Employment Area (TEA) and to $1,050,000 outside of these designated areas.
The program would also be reauthorized for five years, providing longer-term certainty for both investors and the industry as a whole.
Some visas would be reserved for certain investors, including 20 percent for those investing in a rural areas, 10 percent for those investing in areas of high unemployment, and 2 percent for those investing in infrastructure projects.
There are not yet any guarantees on this. This is the nature of the democratic process and we will keep you updated as soon as we find out more. The Direct EB-5 Visa option currently remains open at the $500,000 minimum investment level. However, the window for applying under the current terms is fast closing – presuming the legislation is enacted.
What is EB-5?
The EB-5 investor Visa offers a pathway to US Permanent Residency (a Green Card) via an investment that creates ten jobs. A qualifying family unit can each receive Green Cards under a single investment, but parents need to carefully plan to avoid their children “ageing out” of the process.
Many thousands of people have moved to the United States under the EB-5 Visa program over the past three decades. EB-5 has created hundreds of thousands of jobs and brought in billions of dollars of foreign investment at no cost to the American taxpayer.
This is an evolving situation, please keep checking our blog for more information. We will be holding as series of webinars on this subject as soon as the future of EB-5 becomes clear.
This article is published for clients, friends and other interested visitors for information purposes only. The contents of the article do not constitute legal advice and do not necessarily reflect the opinions of Davies & Associates or any of its attorneys, staff or clients.External links are not an endorsement of the content.
The impact of the changes are being felt at different stages of the process, with greater leniency surrounding the I-829 process.
USCIS is extending the time that a receipt notice can be used to show evidence of lawful permanent resident status from 18 months to 24 months to take account of increased processing times for Form I-829.
What does this mean in practice?
When you file your Form I-829, USCIS will send you a Receipt Notice in the mail. That Receipt Notice, when presented along with your expired Green Card, provides proof of your lawful permanent resident status (for purposes such as border re-entry after international travel, employment authorization, bank verification requirements, and driver’s license applications).
Up to now, you were allowed to use the Form I-829 Receipt Notice as evidence of continued status for up to 18 months past the expiration date stated on your Green Card. That has been increased to 24 months past the expiration date stated on your Green Card. USCIS has stated that they will be re-issuing Receipt Notices for those with pending Form I-829 applications to reflect this new 24 month extension. We cannot predict how long it will take USCIS to re-issue those Receipt Notices. If you have a pending Form I-829, please ensure that USCIS has your current mailing address on file.
What is Form I-829?
Form I-829 is the petition by a EB-5 investor to have the conditions on their Green Card removed. Successful EB-5 applicants are initially granted a two-year Conditional Green Card / Conditional Permanent Residency. Before the expiration date on your Conditional Green Card, you must apply to have those conditions removed by showing that your investment complied with the requirements of the EB-5 program (such as creating the required amount of new jobs). Please see the EB-5 timeline below or contact us for more information.
Regional Center EB-5 Visa Processing
The National Visa Center (NVC) has announced that it will no longer act upon any new or pending Regional CenterEB-5 visa petitions until further notice. The EB-5 Regional Center Program lapsed at the end of June 2021 and the NVC will not work on Regional Center applications until the program is reinstated. The NVC is the organization that receives an approved EB-5 file from USCIS, does document verification (DS-260 completion, birth certificates, police clearances, etc), and then issued interview assignments at the Consulates.
When will the EB-5 Regional Center Program be reinstated?
We cannot say for certain if and when Congress will reinstate the EB-5 Regional Center Program, but it might be included in the must-pass spending legislation due by the end of this month (September).
What about Direct EB-5?
In the meantime, the Direct EB-5 visa option remains open and the NVC will continue to act upon any Direct EB-5 petitions. Direct EB-5 is currently open with a minimum investment threshold of $500,000.
Example EB-5 Visa Timeline (actual timeline will vary)
This article is published for clients, friends and other interested visitors for information purposes only. The contents of the article do not constitute legal advice and do not necessarily reflect the opinions of Davies & Associates or any of its attorneys, staff or clients.External links are not an endorsement of the content.
A large chunk of last year’s quota is going to waste, but there is likely to be a rollover from this year’s unused quota
By Tishita Agarwal
A recent report suggested that close to 100,000 employment based visas, or green cards, are liable to go to waste if they are not issued by the end of the month. A green card, or US Permanent Residency, is issued to show the bearer can reside permanently in the United States.
The quota for this year’s employment-based visas is set at 261,500 – much higher than the usual cut-off of 140,000 because of overspill from last year’s allocation that was not used because of the Covid-19 pandemic. However, if they are not issued by the end of the month, they will all go to waste because the annual visa allocations reset on October 1 of each year. That said, the overspill from this year will likely result in another bumper year for employment-based Green Cards next year (October 2021 to September 2022).
Many are blaming this situation on the Biden administration, citing slow assignments and unchanging protocols and reaction times as the reason why the US government has been so slow to approve green cards and why the new quota will not be filled. In fact, about 125 Indian and Chinese professionals living in the US have also issued a lawsuit against the Biden administration on this issue. It is reported that almost 136,000 children from Indian families had to deport or transfer to a student visa when they became of age because they got caught up in this visa backlog.
However, this is only part of the picture – the United States Citizenship and Immigration Servicies (USCIS) has been affected by Covid lockdowns and staff shortages due to the pandemic. Similarly, embassies and consulates around the world are effected by the ebb and flow of lockdowns and the need to keep staff safe in each respective country.
Since this is an ongoing issue, this year’s unused allocation will roll over and should be more available if embassies and USCIS reopen as hoped.
The increased quota was a result of an unusually low number of family-based green cards being approved in the fiscal year 2020, causing them to ‘roll over’ into this fiscal year. As a result, USCIS had an obligation to approve more employment-based green cards than usual, and announced that it will accept applications from thousands of immigrants who had been waiting for years, some even decades. Employment-based green cards are subject to annual quotas based upon your country of birth. This quota takes no account of a country’s population, which means that the world’s most populous countries India and China have the same annual quota as small countries with tiny populations.
The result is that China and Indian applicants for various employment-based Green Cards face waiting lists. You can read about the latest in our upcoming analysis of the September visa bulletin. Generally speaking China faces a long wait for the EB-5 Investor Visa category (EB standing for Employment-Based) and India faces long waits in the EB-3 highly skilled worker category. Vietnam also faces shorter delays for EB-5 visa and India is often close to the annual allocation for EB-5 (which is approx 700 visas per country per year not counting any rollovers).
Our clients are always reminded that non-immigrant (non-permanent) alternatives are available and can be used as a stop-gap to live in the United States. The two strongest options are the L-1 Visa, which allows you to set up a US office of your foreign company and transfer to manage that business, or the E-2 Treaty Investor Visa, which allows you to move to the US for the purposes of investing in and running a business in America. Spouses can apply for a work permit under both the L-1 Visa and the E-2 Visa. To be eligible for an E-2 Visa, you must be from an E-2 country. India in not an E-2 Visa country, which means you must first obtain citizenship of an E-2 country like Grenada or Turkey to become eligible
As always, the best option is to speak to our team who can explore all the various options and help you to select the best immigration solution for you, your family and/or your business.
This article is published for clients, friends and other interested visitors for information purposes only. The contents of the article do not constitute legal advice and do not necessarily reflect the opinions of Davies & Associates or any of its attorneys, staff or clients.External links are not an endorsement of the content.
The minimum investment level for the EB-5 visa remains at $500,000 for now, but the appeal is a clear signal the Biden administration is intent on increasing the price.
The US government filed a last-minute appeal against a federal court ruling that reversed Trump-era changes to the EB-5 Visa investment thresholds. A federal judge in California ruled in June that a decision to increase the minimum investment level from $500,000 to $900,000 in November 2019 was unlawful because the head of the Department of Homeland Security (DHS) had been improperly appointed. The Biden administration is now seeking to appeal her ruling and reinstate the changes.
The ruling saw the EB-5 investment level fall back to $500,000 in June for a short window before the Regional Center program expired at the end of that month. This resulted in a flurry of applications as people piled in to obtain Green Cards by investment for themselves and their families. While the EB-5 Regional Center route is on hold, Direct EB-5 remains open and accepting applicants the $500,000 investment amount.
Increasing the Minimum Investment for EB-5 Visa
The timeline on the appeals process is not clear. It could be done quickly, but is more likely to take many months. The appeal does underscore the Biden administration’s commitment to a higher EB-5 investment level than the current minimum threshold of $500,000. If the appeal process is successful, that would mean a return to $900,000 minimum investment level inside a Targeted Employment Area ($1.8 million outside these areas). The alternative is to go through the US Congress to change the rules for the EB-5 program and agree new investment thresholds.
There was a bipartisan attempt to reform and reauthorize the EB-5 Regional Center program before it expired. However, this failed when a single senator, Lindsey Graham of South Carolina, opposed passing the bill following an eleventh hour attempt to pass it by Unanimous Consent. Senator Graham is not opposed to EB-5, but wanted more discussion on what a reformed investor-visa program should look like.
Congress and the EB-5 Program
Congress will need to revisit EB-5 after its summer recess. There could still be another attempt at bespoke reform for EB-5, but the packed legislative agenda may mean that it is folded back into spending legislation due at the end of September. Any reform package would seek to bring greater integrity to the program, may review the differential between TEA investment and non-TEA investment, and, critically for of investors, it may also amend the investment thresholds.
The increase to a $900,000 minimum investment has resulted in a drop in applications since it has pushed EB-5 outside of the reaches of the global middle class who have been the backbone of the EB-5 Immigrant Investor Visa program since its inception in the 1990s. The US program is more affordable than many comparable citizenship or residency by investment programs worldwide – for example, the UK Tier One Investor Visa starts from £2 million (and is a visa that Davies & Associates can also assist you with).
The onset of the Covid pandemic soon after the price increase has also served to dampen demand, so it is tricky to draw conclusive trends based upon the 2020 EB-5 filing data.
A more modest increase in the minimum investment threshold to $700,000 or $750,000 could be a real possibility according to industry insiders. This would raise more revenue while keeping the EB-5 program within reach of more people. Such a change would require legislative approval.
Watch a recording of our most recent webinar where we delve deeply into this image and examine the potential reform and reauthorization of the Regional Center program.
Watch our recent webinar on the future of the EB-5 Regional Center Program
Next steps for the EB-5 Immigrant Investor Visa Program
The good news is that EB-5 enjoys the backing of politicians from both main political parties. EB-5 brings in billions of dollars of investment and creates hundreds of thousands of jobs at no cost to the taxpayer. The EB-5 program played a vital role in bringing foreign direct investment to the United States amid the financial crisis in 2008 and EB-5 can serve in a similar manner as America emerges from Covid-19.
We cannot take any stance of the likelihood of success on the appeal, but it is a clear sign that the Biden administration intends to increase the investment minimum. But just filing the appeal does not have any immediate impact. The investment amount remains at $500,000 until and unless they get a favorable appellate decision (or until they go through the rule change process properly). So, Direct EB-5 remains open to new applicants at the $500,000 limit, as would the Regional Center program – if and when it is reinstated. We will keep everyone updated as events unfold.
This article is published for clients, friends and other interested visitors for information purposes only. The contents of the article do not constitute legal advice and do not necessarily reflect the opinions of Davies & Associates or any of its attorneys, staff or clients.External links are not an endorsement of the content.
We are anticipating the potential return of the EB-5 Visa Regional Center program at the end of September. It has been suspended since the end of June when the program lapsed. Congress was unable to agree to a reform and reauthorization bill. So the expectation is that it may be rolled back into the consolidated spending bill due by September 30.
The EB-5 visa program had been deliberately separated from this must-pass spending legislation last year in the hope that Congress would grapple with long-needed reform. For example, the need to bring more integrity to the EB-5 program and stamp out fraud.
If EB-5 visas are rolled back into the appropriations legislation in September, then it is likely to reopen with a minimum investment level of $500,000. This is down from $900,000 – the minimum investment level from November 2019 to June 2021. The price was pulled back down when a federal court rule that the November increase was unlawful.
There is support in Congress for putting the minimum EB-5 investment level back up – perhaps not as high as $900,000 but maybe to something in the $700,000 – $750,000. There is also interest in bringing the upper investment level (those outside of Targeted Employment Areas) down. The differential between TEA investments and non-TEA investments had been 100% (minimum investment outside a TEA is currently $1 million down from $1.8 million). This is one of the reasons Congress struggled to agree a reform proposal before the June 30 deadline.
Davies & Associates is holding a webinar on this very subject today with CMB Regional Centers in person in their Dallas office. Mark Davies, our global chairman, will be joined by Matt Hogan, VP Project Developments at CMB.
Topics will include
1. What is the latest news on the EB-5 Regional Center Program? 2. When will the EB-5 Regional Center Program be reauthorized? 3. Will the EB-5 Regional Center Program return at $500,000? 4. Will the investment threshold be going back up to $900,000? 5. Has this period where the Regional Center program has not been active for been good or bad for the program? 6. Do you think there will be a strong demand again for EB-5 if the Regional Center Program is continued at $500k?
Join us today or hang on for the recording in a subsequent webinar.
This article is published for clients, friends and other interested visitors for information purposes only. The contents of the article do not constitute legal advice and do not necessarily reflect the opinions of Davies & Associates or any of its attorneys, staff or clients.External links are not an endorsement of the content.
Did you know that the Direct EB-5 Program remains open to new investors at the $500,000 minimum investment amount?
But hurry. The time to file at this lower rate is likely to be limited.
The EB-5 Regional Center program has lapsed because Congress was unable to agree a unanimous vote to reauthorize before the July 4th recess. We expect Congress will reauthorize the program, although the exact timing of this is uncertain.
Unlike the Regional Center program, Direct EB-5 is permanently authorized and remains open to new investors. Because of a recent court ruling, the minimum investment level has dropped back to $500,000 in a Targeted Employment Area.
When Congress votes to reauthorize the Regional Center program it is likely that it will reinstate a higher investment level, so the window to file Direct EB-5 at $500,000 is limited. Webinar: Direct EB-5 FAQs Answered
Davies & Associates Chairman Mark Davies will be answering all your questions about Direct EB-5 on a webinar this week.
Mark will be joined by Samuel B. Silverman and Michael Schoenfeld, the Managing Partners of EB5 Affiliate Network who will discuss pre-packaged “off-the-shelf” Direct EB-5 options.*
*D&A is an independent law firm, please note that participation in a joint webinar is not an endorsement of any commercial product.
On June 30th, 2021 the EB5 Regional Center Program expired and USCIS stopped accepting new I526 Petitions for processing. At the same time USCIS continued to accept EB5 petitions for Direct EB5 applications at the USD 500,000 level.
While USCIS have stopped processing EB5 Regional Center Petitions and related I485 Petitions the processing of Direct EB5 and related Petitions continues. With work having stopped on EB5 Regional Center files it seems a reasonable assumption that the processing time for EB5 Direct cases will dramatically improve.
The EB5 Regional Center program was a “pilot program” subject to constant renewals the EB5 Direct program is permanently authorized, does not expire and is currently open for investments at USD 500,000.00.
The Basics
There is a lot of misinformation concerning the Direct EB5 program. The chart which follows is intended to provide a very basic summary in an effort to dispel those myths.
EB5 Regional Center Program (which Expired on June 30th)
EB5 Direct Program
Investment Required
USD 500,000 in TEA USD 1,000,000 outside TEA
USD 500,000 in TEA USD 1,000,000 outside TEA
Are you required to invest in your own business?
No.
No but this is common.
Does my investment have to be cash?
While not required by law Regional Centers require cash to fund their projects.
Cash is not required**. Our firm has obtained EB-5 Direct Green Card by leveraging equipment, inventory and other assets.
Period of Authorization
Lapsed on June 30th, 2021.
Permanently authorized.
Job Creation
Can use implied and induced jobs under an economic formula to evidence ten jobs have been created.
Proof based on the preponderance of the evidence that 10 actual jobs will be created within 2.5 years.
Can existing jobs be used?
No, with a narrow exception for saving jobs in a financially troubled business**.
No difference**.
Involvement in Day-to-Day Management
Not required***.
Not Required but this is much more common than with Regional Center cases. ***
I Have a Furniture Factory in Vietnam. Can I fund My US EB5 Investment with Stocks of Furniture?
Yes!
You can establish a business in the US to sell the furniture you make in Vietnam using an L visa. As long as you have invested sufficient stocks of furniture and other capital in the US and created sufficient US jobs you are eligible to file for EB5 Investor Visa.
I Have a T-Shirt Factory in India. Can I fund My US EB5 Investment with Stocks of T-Shirts?
Yes!
You can establish a business in the US to sell the T-Shirts you make in India using an L-1 visa or other visa. As long as you have invested sufficient stocks of T-Shirts and other capital in the US and created sufficient US jobs you are eligible to file for EB5.
Can I come to the US While I am waiting for my EB5 to Process?
Many of our firm’s client have established small businesses in the United States using E2 visa, L1 visa and other visas. After establishing these businesses and making them grow to the applicable level our clients have been uniformly successful in “adjusting” their status in the United States to “Permanent Resident” and “Green Card” status using EB1c, Direct EB5 and other Employment-Based categories.
A key advantage of Direct EB5 and EB1c is that they both allow a client to build their US businesses over time and qualify for a Green Card.
For example a client who obtained an E2 visa to start a small coffee shop in Miami was able to grow that business to three coffee shops thereby creating over twenty jobs. This client was able to adjust her E2 visa to a Green Card using the Direct EB5 program.
In another example an Indian client established a small two employee fashion marketing business in New York using an L-1 visa and was later able to “adjust” to Green Card status after growing his US business for 2-3 years.
While it is absolutely possible to come to the US on a non-immigrant visa and await the approval of an EB5-based Green Card this involves assessing considerations of “immigrant intent” and other complex issues of immigration law. Such considerations require careful planning and the assistance of an experienced EB5 lawyer.
Can I Count Jobs Created for my Family for Direct EB5 Purposes?
A common question to which the answer is NO – you cannot count jobs created for family members as part of meeting job creation requirements for EB5 . For Direct EB-5 you must create a minimum of 10 jobs within 2.5 years.
What Type of Business is Eligible for Direct EB5?
This is a very common question. All types of businesses in any industry qualify for EB5 so long as the requisite jobs are created and the applicable investment has been made. Our clients have established businesses including but not limited to the following industries and later “adjusted” to Green Card status through EB5 or other employment-based categories:
Fashion
Manufacturing
Oil & Gas
Dental
Medical Devices
Furniture
Heath Care
Information Technology
Hair and Beauty
* The amount of investment for both EB5 programs had been increased to USD 900,000 to USD 1,800,000 depending on the location of the project but this amount was reduced as a result of court action in June 2021. SeeBehring Regional Center v. Wolf, Case No. 3:20-cv-09263 (N.D. Cal)
** 8 C.F.R. § 204.6 (e). Capital means cash, equipment, inventory, other tangible property, cash equivalents, and indebtedness secured by assets owned by the alien investor, provided that the alien investor is personally and primarily liable and that the assets of the newcommercial enterprise upon which the petition is based are not used to secure any of the indebtedness. All capital shall be valued at fair market value in United States dollars. Assets acquired, directly or indirectly, by unlawful means (such as criminal activities) shall not be considered capital for the purposes of section 203(b)(5) of the Act.
*** 8 C.F.R. § 204.6 (g)(4)(ii). In our experience Direct EB5 investors can be very quick to look for opportunities to invest in a “troubled business” in order not to have to create ten new jobs. This can often lead to commercial losses, a failure to maintain the jobs and the denial of the EB5 immigration benefit sought. We suggest conducting a proper business and financial review with a licensed financial or business advisor before acquiring or forming any business.
**** 8 C.F.R. § 204.6 (j)(5) provides rules for “petitioner engagement” which are as follows:
To show that the petitioner is or will be engaged in the newcommercial enterprise, either through the exercise of day-to-day managerial control or through policy formulation, the petition must be accompanied by:
(i) A statement of the position title that the petitioner has or will have in the new enterprise and a complete description of the position’s duties;
(ii) Evidence that the petitioner is a corporate officer or a member of the corporate board of directors; or
This article is published for clients, friends and other interested visitors for information purposes only. The contents of the article do not constitute legal advice and do not necessarily reflect the opinions of Davies & Associates or any of its attorneys, staff or clients.External links are not an endorsement of the content.
The EB-5 Regional Center Program expired at midnight last night. We expect this to be a temporary lapse as Congress negotiates how to reform the program.
1. Anyone applying for EB-5 through Regional Center Program from today:
Your application will be rejected
2. Anyone who has filed form I-526 prior to the deadline but not yet received an adjudication:
Your application will not be rejected, but USCIS will not work on your case until further notice
3. Anyone who has filed an I-526 prior to the deadline and has received written correspondence (such as a Request for Evidence):
You must respond to written correspondence (if required) by the given deadline, but USCIS will not review your response until further notice.
4. Anyone filing form I-485:
USCIS initially said you could file new I-485s but it would not be processing any new or existing I-485s. It later revised its position to say it would REJECT all I-485s until further notice.
5. Anyone on a Conditional Green Card filing form I-829:
USCIS will continue to accept and process all I-829s
Direct EB-5
The above only relates to the EB-5 Regional Center program. Anyone on Direct EB-5 is unaffected. Direct EB-5 is permanently authorized. USCIS continues to accept and process new and pending Direct EB-5 petitions.
The minimum investment level for Direct EB-5 remains at the reduced level of $500,000. We anticipate a small window before a higher investment level is reinstated.
Stay tuned for more from Davies & Associates about Direct EB-5 in the coming days.
This article is published for clients, friends and other interested visitors for information purposes only. The contents of the article do not constitute legal advice and do not necessarily reflect the opinions of Davies & Associates or any of its attorneys, staff or clients.External links are not an endorsement of the content.
Statement from Mark I. Davies, Global Chairman, Davies & Associates
A federal judge ruled last night that one of the heads of the Department of Homeland Security under President Trump was not properly appointed, thus invalidating the EB-5 price increase from USD 500,000 to USD 900,000 in November 2019.
Within hours of the court decision, our firm received scores of inquiries from potential EB-5 investors who are hoping to avail themselves of the opportunity to invest in an EB5 qualifying project at USD 500,000.
While a window now potentially exists until June 30th when the current Regional Center program expires, the next 24 to 48 hours are crucial as a response from USCIS is anticipated.
The anticipated response from USCIS could include filing an appeal or taking other administrative actions to close the new USD 500,000 window. Our clients who prepared EB-5 cases in the last few weeks may now be able to file their EB-5 case at USD 500,000, while others may not be able to given the timeframe and contingencies involved.
This also re-raises the question of responsible partial filing. If carefully structured using escrow accounts and special fixed deposit accounts – that only allow for maturing funds to be remitted to the Regional Center – partial funding can be executed in a low-risk manner.
Please contact our firm if you would like more information or wish to progress your EB-5 application.
What is EB-5 Investor Visa?
The EB-5 Immigrant Investor Visa Program allows an investor to obtain US permanent residency (Green Card). The required investment was $900,000 in a Targeted Employment Area and $1.8 million outside of a TEA. The ruling changes this back to the pre November investment requirements of $500,000 and $1 million respectively. A family can receive visas under one investment provided the children are under the age of 21 at the point they receive a conditional Green Card – not at the point of submitting the application or having it approved.
It is possible to make and manage the investment yourself through so-called Direct EB-5. But the vast majority of applicants opt to invest through a Regional Center. A reputable RC with a good project can help to mitigate risks to both your Green Card and the return of your invested capital. Complying with the EB-5 rules can be tough for Direct EB-5 because you are required to create and sustain ten full-time jobs. Regional Centers are permitted a different job creation metric and use the funds for job-hungry projects.
The EB-5 Regional Center program is set to expire at the end of June 2021. Congress must reauthorize the process. There are competing vision for reform, which is causing legislative friction. Compromise is needed if Congress is to reauthorize a program that brings millions of dollars of investment and creates hundreds of thousands of jobs. Direct EB-5 remains unaffected.
This article is published for clients, friends and other interested visitors for information purposes only. The contents of the article do not constitute legal advice and do not necessarily reflect the opinions of Davies & Associates or any of its attorneys, staff or clients.External links are not an endorsement of the content.
