If you are considering the EB-5visa as the quickest method to achieve permanent residency in the USA for you and your family, you will be requiring the latest independent information on this visa and the background information on the many Regional Centers that claim they have the best program!
Unfortunately there are many important issues you are not told in all the sales material. A lack of information has led to a number of EB-5 users facing potential deportation and others facing the loss of some or all of their $500,000.
It is absolutely vital that you receive detailed, impartial, information before deciding which program best matches your specific requirements. However, a number of the sources that claim to be independent actually have sales / marketing agreements with specific regional centers so beware.
There has been a significant increase in the number of enquiries from wealthy Russian and Ukrainian business people who have looked at the fastest way to gain permanent residency in the USA for themselves and their families.
Interest in the EB-5 regional center visa, which requires putting $500,000 into a US Government approved regional center program, has increased over the past two months from both Russia and Ukraine. Wealthy clients are looking to start the process as soon as possible; this visa route is currently due to end in September 2012.
Russian businessmen have been concerned by the potential election of Vladimir Putin as President with concerns on possible tax implications and a hardening of attitudes towards business people. The likelihood of Putin returning as President may coincide with the Russian economy slowing down due to a fall in demand and prices for raw materials which account for 60% of Russian export earnings. A number of wealthy Russians are seeking to move to The USA before this happens.
The prosecution and jailing of the former Ukrainian prime minister and opposition leader Yulia Tymoshenko has been a matter of concern to many people there as it’s seen as a move towards a more authoritarian administration. There has been widespread commentary and concern that the jailing could be a sign that Ukraine is heading towards possible autocratic rule.
There has been a mixed selection of news on the EB-5 this week with good news concerning a consistent stream of EB-5 immigrants receiving I-829 approval. Bad news regarding alleged potential problems with one program and no news regarding the extension of the EB-5 regional center pilot program or the introduction of premium processing.
Good News
There has been a regular ongoing stream of clients receiving I-526 approvals which is always important. Additionally for those clients we worked with several years ago, there has also been an ongoing stream of I-829 successes. (The I-829 stage removes the conditions from visas and provides permanent green cards). As one client who received news of I-829 success commented, “the program we selected has done exactly as stated and we are delighted our relocation to The USA has worked out so well for us”.
Bad News
There has been bad news this week reported by CBS Money Watch regarding alleged issues with a particular program that had been promoted in China on a Chinese website. Currently the Attorney General in the State concerned is reported to be looking to see if any civil or criminal laws have been violated. We will keep you informed of developments on this issue.
No News
There continues to be no definitive news regarding an extension of the EB-5 Regional center program beyond September 2012 or indeed the introduction in the near future of what is termed premium processing which would greatly shorten the application process. Given the lack of news on these points those of you currently considering the EB-5 visa as your best method of achieving permanent residence in the USA may wish to act sooner rather than later.
Many who are starting the EB-5 process have found it useful to begin researching the EB-5 by reading the only published consumer guide on the EB-5 visa pilot program Green card via the Red Carpet.
If you are considering the EB-5 visa as your best method to gain permanent residence in the USA you may need to act in the next three/four months to make certain of obtaining the visa.
Currently applications are taking approximately six months for your initial petition to be processed by USCIS and a further three to four months for either an adjustment of status or consular processing. If you want to be sure you have enough time to go through the process with a margin of safety you probably need to apply before the end of December 2011.
The program has faced closure before but Congress has granted typically last minute extensions. However, this time closure is due in the period of a run up to The Presidential election, this adds some uncertainty to the process.
There has been lots of talk that premium processing would be introduced for the EB-5 visa program which could reduce the processing time down from the current six months to a few weeks. While this is currently under continued discussion it could take many months to implement. Meaning it MAY NOT be available until late into 2012. This would leave many applicants exposed to perhaps not getting their petition adjudicated prior to the expiry of the program.
It is very important for you to carry out full due diligence before committing to a particular Regional Center program. A number of Regional Centers have received Requests for further Evidence (RFE), some have had refusals at the initial (I-526) stage and others, more alarmingly, have had refusals at the removal of conditions (I-829) stage.
If you would like to discuss the implications of this program, or would like impartial information about the various Regional Center programs, our network of consultants and attorney’s can provide a free in-depth personal consultation to you. We currently have over 250 clients and a 100% record success record.
If you are considering a permanent move to the USA you may be researching a number of issues. One of the major ones is likely to be tax implications. We have therefore included some commentary from one of our Tax specialists that may be of interest.
“In general terms taxes are currently lower in the USA than compared with many other industrialized countries. Of course generalities are always difficult, as there are many forms of taxation in each country. An individual’s tax liability will vary according to their particular circumstances. As an example take sales tax. The USA does not have a country wide system of sales or value added tax. An average figure for sales tax in the USA varies according to each State but is in the region of 5% to 7%.Some states do not have any sales tax! Compared too many European countries where the figure can be 20% this can make for a considerable difference in the cost of living. There is also a federal income tax in The USA which is progressive, increasing with the amount of income. Currently this ranges from 10% to 35% of taxable income with the highest level only cutting in at a taxable income exceeding $375,000 for a husband and wife filing a joint tax return. There are many deductions available which can reduce taxable income, these can include, home mortgage interest, property taxes, investment interest, local taxes, State sales taxes etc. Some States also levy taxes on income, figures vary. It is important to understand that tax liabilities are a highly individualized topic and each set of circumstances may differ. Different countries may have tax agreements with The USA to avoid double taxation and it is important to obtain professional advice”.
During the past few months it seems that much of the news coming out of the USA is negative, with headlines focusing on issues such as the budget deficit, the falling value of the dollar and unemployment rates. Despite these issues America remains an extremely popular destination for immigrants from all over the world and the EB-5visa is increasingly viewed as a preferred option. given that it provides permanent residence for the entire family, (the applicant, their spouse and unmarried children under 21).
Reasons for wishing to immigrate differ and sometimes vary depending on the country you are from. We find Chinese applicants focus on the quality of education for their children in the USA. Indian applicants stress the entrepreneurial opportunities, Mexican and Venezuelan applicants often have fears regarding crime and security issues in their home countries and British applicants often long for the sunshine, degree of choice and low cost of living in parts of the USA.
Wherever you are from and whatever your considerations a good place to start if you are considering immigration to The USA and would like to know more about the benefits of the EB-5 visa is to read, Green Card via the Red Carpet which covers the immigration process and the positive and negative aspects of various visa options. Importantly it has been written by two first generation immigrants who understand from your perspective, as potential immigrants, the issues you need to be particularly aware of and the dangers that are important to be aware of.
Many have commented that the time spent reading this book has been the best time they could have spent on researching the EB-5.
The last few days have seen a lot of press releases, blogs and general commentary relating to an announcement from The Department of Homeland Security and The United States Citizenship and Immigration Service (USCIS), which involves a number of measures to be implemented over the next few months. These steps should have the effect of improving the speed and progress of the application process for the EB-5 visa.
This announcement is undoubtedly good news for those of you planning to use the EB-5 visa to obtain permanent residency in The USA. There is no doubt that the application process has been somewhat lengthy over the past year and moves to reduce it are certainly very welcome.
The bad news, at least in terms of the immigrant(s) affected, concerned a decision from The Administrative Appeals Office, which upheld a USCIS decision to refuse I-829 status to an EB-5 visa holder. This is important for a number of reasons:-
The I-829 stage usually begins after an EB-5 visa holder has been in the USA for twenty one months on a conditional green card. At this stage the applicant seeks to have their conditions removed and an important part of the evidence required relates to the creation of ten jobs.
In the case reviewed by the Administrative Appeals Office the majority of the jobs was allegedly found to be held by illegal immigrants and therefore did not satisfy clearly laid out USCIS requirements. This is not the only case where job issues have led to refusal of an I-829 application. However, such cases are not widely publicized (for more information contact us).
In terms of no news, we have still not heard when, or indeed if, the EB-5 Regional Center pilot program will be extended beyond its cutoff date of September 2012. Immigration reform remains a contentious issue in The USA and although the measures to speed up processing should provide confidence for those planning to apply in the next twelve months, there remains no current evidence as to whether the program will continue beyond September 2012.
The lesson from all of this is the importance of selecting the most appropriate Regional Center program when choosing the EB-5 as your route to permanent residence.
The EB-5 visa requires a $500,000 investment in a United States Citizenship and Immigration service (USCIS) approved Regional Center Program. The track record of these programs varies considerably. It is vital you obtain independent information from experienced advisers prior to making a decision on your choice of Regional Center program.
If you would like more information on these visa options and a free consultation contact Which EB5
In the past few months there have been a number of articles in The Economist, Newsweek and Time which in one way or another examine this question. This will be of particular interest for those of you looking into the EB-5visa as your best route for permanent residence in The USA.
Whatever struggles the US may be going through many people throughout the world would love to live in The USA. A recent immigrant has been quoted as saying: – “America is a land that offers a chance to be whatever you want to be, it is a place where nearly any immigrant can find a niche. In America you can say what you think.”
The sheer size and diversity of America provides new immigrants with a fantastic range of options and choices, in terms of where to live and work, in terms of culture, climate, etc etc!
It is interesting to note that 13% of Americans were born overseas and indeed nearly all Americans were themselves descended from a relative who came from somewhere else at some stage over the past couple of hundred years. Wherever an immigrant may come from it is highly likely that they will be able to find ethnic kin somewhere in the USA if they so choose.
The diversity of America is illustrated by the fact that America has 50 States each with different sets of laws. Whatever your views it is generally possible to find the ideal place to live.
Alejandro Mayorkas of the United States Citizenship and Immigration Service (USCIS) has been quoted as saying, “People come to America either because they yearn for freedom or they are fleeing for something – be it war or a culture that irks them”.
The Senior Partners of Which EB5 are themselves first generation immigrants and have covered many aspects of the immigration process to the USA in their book Green Card via The Red Carpet.
From our perspective, as consumer advocates on the EB-5 programs, the focus is on the immigrant applicant who simply requires the opportunity to make a successful application that will provide the security of permanent residency for their family in the USA and the best chance of the return of their $500,000 in the shortest possible period of time.
A number of Consultants working in the EB-5 field also offer services to regional centers, ranging from advice on how to attract clients, how to establish a regional center etc. Additionally there are increasing numbers of courses being offered, that suggest the EB-5 can be an excellent way to raise money for investment projects that otherwise would be difficult to find finance for.
It is vital to realize that from the EB-5 applicants’ perspective, the visa is typically about their safest route to permanent residency in the USA and the safest and most effective use of their capital.
The present range of EB-5 programs vary enormously in size, track record and potential outcome for the applicant, both in terms of success or failure of the conditions being removed at the I-829 stage ( two years) and the return of their funds.
Concerns have been expressed that there could be dangers in some programs which unable to raise capital from the traditional banking sources, seek to raise a substantial part of the necessary financing from EB-5 investors who may fail to understand all the risks and implications. These risks can include potential deportation and or loss of some or all of their capital.
One significant advantage of the EB5Immigrant Investorvisa is that a successful applicant is able to include their spouse and all their unmarried children who are under the age of 21.
This is a major benefit for the many families who have very real concerns regarding the limitations imposed on them by a number of the alternative visa options.
There have been many high profile examples over the years of the difficulties faced by family members, when they time out on the particular visa they gained entry into the USA on.
The E2 is a particular example of where things can go wrong. The visa does not provide the protection of permanent residence for the applicant, their spouse or their children.
If we take as an example a family that relocated to the USA on an E2 visa seventeen years ago when their eldest child was three years old. Although that child has been bought up in the USA and may have had no contacts with her country of birth once she reaches the USA, she is no longer covered by the E2 visa once she reaches 21 and could end up being deported.
Many families on a range of different visas face this problem, which is one of the reasons the EB5 visa is seen as a much better option as each and every member of the family have their own green-card and permanent residency status.
The EB-5 visa requires an investment of $500,000 in a US Government approved Regional center program, additionally there are administrative and legal costs which are likely to add a further $50,000 to $70,000.
However, if one selects a program with a sound track record and gets back the investment in a reasonable period of time, the only expense for achieving permanent residence in the USA is the administrative and legal cost. If you consider this actual cost covers permanent residence for several family members the price of this may be considered reasonable by some.
WhichEB5.com, its owners and associates, do not function as attorneys or legal counsel and do not attempt to interpret immigration law and do not provide or offer legal advice or legal services or investment advice. Anyone considering an Investment based Visa should seek independent professional advice. The information on this site is intended to be general on the subject of the EB5 investment visa green card program and should not be relied upon for any specific situation. Any reference to designated regional centers on this website is posted as reference material only. For legal advice, please contact one of our attorneys. Prior results do not guarantee a similar outcome. Results depend upon a variety of factors unique to each person. Which EB5 is a service of Ireeco LLC 1515 N.Federal Hwy. Suite 300 Boca Raton Florida 33432 USA Telephone: +1-561-771-1330.
