The EB-5 Visa Availability Approach Model
The United States Citizenship and Immigration Services (“USCIS”) regulates the application process of the EB-5 Immigrant visa program. The program, created by congress, provides for prospective investors to invest $900,000 into a U.S. approved EB-5 commercial enterprise. The capital investment acts as an economic stimulus for the U.S. economy and further provides a boost to the employment market through the requirement of the investment to generate 10 permanent jobs for U.S. citizens. For the EB-5 potential investors through their investment they obtain a U.S. green card and residency for themselves and their immediate family members. The USCIS has started issuing visas based on the visa availability approach to prioritizing the immigrant petition applications.
Understanding the EB-5 Escrow Process
It is common practice for EB-5 project managers to utilize an escrow arrangement to safeguard investors funds prior to the approval of the investors I-526 petition. The I-526 petition is the application filed by the EB-5 specialist on behalf of the EB-5 investor for their U.S. green card and residency. It is thus imperative that the potential EB-5 investor understands the process behind placing their funds in an escrow account.
Expediting Your EB-5 Application
It is crucial for prospective EB-5 investors to ask the right questions prior to making the commitment to be part of the program. The most commonly asked question from both current and potential investors is what do they need to do in order to expedite their EB-5 applications? The question on its own is tricky to fully answer but it is a very relevant question. The EB-5 immigrant investment program was created with a specific set of guidelines and requirements. Under these requirements, investors need to invest a minimum of $900,000 which will create 10 jobs for U.S. persons and submit clear source of funds documentation. These requirements heed beneficial results for both the U.S. and the investor. For the U.S. the investment stimulates the U.S. economy and labor market and for the investor, they receive U.S. green cards and residency for themselves and immediate family members.
How EB-5 Investors Can Protect Themselves
The U.S. EB-5 immigrant investor program provides foreign nationals with the opportunity to obtain a U.S. green card and residency for themselves and their immediate family members. Under the program, a prospective investor must invest $900,000 into a U.S. government approved commercial enterprise. Since its inception the program has received great interest from expanding markets such as China and India. Evidently, the requirement of a high investment has made the program synonymous with wealthy families, and thus increasing the chances of applicants being exposed to fraudulent activities. Therefore, it is crucial that potential investors are proactively aware of ways to prevent being defrauded.
EB-5 Program Regulations that Protect the Investor
The EB-5 program provides a path for foreign nationals to obtain a U.S. green card and residency through the capital investment of $900,000. The purpose of the program is to stimulate economic growth and increase job creation. According to the U.S. Citizenship and Immigration Services, the EB-5 program has brought $8.7 billion of foreign capital into the U.S. since 2017. With the rising increase in investments into the program and the corresponding rise in fraudulent activity, EB-5 investors should complete their own due diligence before investing in any EB-5 project.
The EB-5 Program as a Solution to the Suspension of the L-1 and H1-B
The proclamation by President Trump on the temporary suspension of several work visa categories and the subsequent halt of all entry to the United States has caused great panic for foreign nationals scheduled to be in the U.S. on a valid work visa.
EB-5 Program as a Stimulus for the United States Economy Post COVID-19
The United States EB-5 immigrant investment program by congress was created with the intent to promote regional economic growth for the U.S. through foreign investment. The program was designed to directly inject capital investment into the U.S. economy and thereby create jobs for U.S. persons. While the program is an important alternative source of capital for the economic growth of the U.S. economy and labor market, it is also a crucial immigration tool for foreign nationals looking to migrate into the U.S.
Pre-immigration Tax Planning for EB-5 Investors
Foreign nationals from all over the world migrate to the United States in hopes of accessing the many benefits that come with being a U.S. person for themselves and their families. Whether migration occurs through the EB-5 program or any other official government program, foreign nationals must inform themselves of the tax obligations that come with being a U.S. person. The U.S. tax laws mandate that all U.S. green card holders, residents, and U.S. citizens are liable to pay business tax, personal income tax, and estate tax. Such tax obligations make pre-immigration tax planning a critical and necessary step for foreign nationals who are considering moving to the U.S.
Key Differences Between U.S. Green Card & Passport Holders
Foreign investors are given the opportunity to obtain green cards for themselves and their qualifying dependents by way of participating in the EB-5 program and making an investment of $900,000 in a new commercial enterprise in the United States.
EB-5 Eligibility for Investors from Dubai and the Middle East
The EB-5 Immigrant Investor Program (EB-5 program) of the United States provides foreign investors and their qualifying dependents the opportunity to obtain U.S. permanent resident status with an investment of $900,000 in the United States. An investor from the Middle East and more specifically from Dubai must consider the below factors prior to the submission of their EB-5 application (I-526 petition) with the United States Citizenship and Immigration Services.