What is an U.S. EB-5 Investor Visa?

An EB-5 Investor Visa is a U.S. Visa that allows an immigrant investor the opportunity to receive permanent residency if they invest a specific amount of money in a new or struggling business in the United States.  In order for the capital investment to qualify, it must result in the employment of a   minimum of ten U.S. workers.   If the Immigrant Investor’s Application is granted they are given a “conditional” two year U.S. permanent residency.   The immigrant investor is placed in the full Permanent Resident category if at their two-year anniversary of admission, they continue to meet the program’s requirements.  The United States sets aside 10,000 EB-5 visas per year and this quota comes no where close to being reached.

Tax Consequences:
An immigrant investor who utilizes this category for immigration purposes must pay U.S. taxes on all of his or her income earned during his two years of conditional residence, regardless of what country it is earned in.  The immigrant investor must pay these taxes even though they have no guarantee that the conditional status will be removed or that he or she will become a Permanent Resident.

Family Members of Immigrant Investors:
Parents, spouses, and children  of the Immigrant Investor can immigrate with the Immigrant Investor.   Children must be unmarried and under the age of 21.  (Special age-out provisions do apply.)

To Qualify for an EB-5 Investor Visa:
1.  Investor Immigrant must invest at least $1 million in a U.S. business or $500,000 in a “targeted employment area.”  A Targeted Employment Area is either a rural area or an area which is experiencing an unmployment at the rate of at least 150% the national average.
2.  The capital invested must have been obtained lawfully.
3.  The business must benefit the US economy and must employ at least 10 U.S. workers (unless taking part in the immigrant investor pilot program).
4.  The investment must be made in a new business or in a “troubled” business.
5  The investor must manage the business through either day to day management or through determining the policy that governs the business.

For more information or to schedule a free consultation, email us at info@kerseysabawi.com or call us at 619-399-3366 or 702-420-7257 .

Posted by: Kersey & Sabawi, Immigration Lawyers