Yes; 100% of the invested funds can be a gift. There are a few things to remember, though. First, there must be a gift letter that makes it clear the funds are being gifted and not loaned, i.e., they do not have to be repaid and there are no other restrictions. Second, the lawful source of funds of the donor must be clearly documented. Third, if the donor's funds are secured by a loan, USCIS might have a problem since the collateral likely will not be owned by (held in the name of) the investor/petitioner.
Yes -- it is important, however, that the person providing the gift is able to trace/source the funds.
Yes it can be a gift as long as it is documented and irreversible and traceable. The recipient needs however to take into consideration tax implications of gifts. This is usually not a problem for EB-5 size gifts of $500k in the US, but it may still be an issue in their home country. It is always worth to check before finding out afterwards.
Yes, it can be 100%. The main issues are the source of such gift must be legal and it is well-documented as a gift and it is neither a loan nor refundable. Advisably, get it in writing.
Yes, all of the invested funds may be gifted to the EB-5 investor. We generally advise the person providing a gift (giftor) be able to document how the gifted funds were acquired in detail, while also tracking the funds were gifted from the giftor. Additionally, it is important to document that the funds were gifted with a proper gift declaration. It is important to note the difference between a gift where the beneficiary/EB-5 investor has full control over the gifted funds without any conditions, in contrast to a loan. The giftor and beneficiary should review the tax implications of the gift in advance of making the gift.
Yes, it can be a gift or even a loan. But keep in mind the proof of funds requirement.
Absolutely. However, the source for the gift fund must be provided by supporting documents to be submitted with the I-526 petition.
Yes. Please keep in mind though that this method is still subject to source of funds scrutiny. Also, the donor needs to check with the tax authorities in their legal jurisdiction. The gift might have tax consequences that need to be considered as well.
Yes, source of funds should be carefully documented. Review tax implications and filing requirements for donor.
Yes, gift is 100% permitted. However, USCIS will require that the giftor document his/her source of the gift, which requires extensive documentation and paper trail ('follow the money" test). In addition, there are countries that impose gift tax. Hence, I always advise clients to consult with their country's tax expert if there are any tax issues related to gifts.
Absolutely so long as the source of fund by the investor and the legal source of income of the grantee is shown.
Note: This is a blog post by our attorneys and should NOT be construed as a legal advice. The materials appearing on this are attorney advertising. This site is NOT intended to create an attorney-client relationship. If you or your employer want to learn more about this and other immigration law topics do contact us at (+1) 888 820 4430 (toll free), or (+1) 202 459 2105, or email us at firstname.lastname@example.org
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