Can I Gift Investment Funds To My Children So They Can Apply For EB-5?

Can I Gift Investment Funds To My Children So They Can Apply For EB-5?

2020/04/01 10:24am

Many parents choose to gift investment funds to their children so they can apply for EB-5 visas. Here’s what families need to know to get started and why the EB-5 visa, in particular, is an attractive option for students.

Requirements for gifting investment funds to children for EB-5 use:

A gift of funds may be used for an EB-5 investment as long as the donor can prove that the funds for the gift came from lawful sources. The donor may also need to clearly state that there is no expectation of repayment of the gift. Depending on the sources of funds, the donor may need to provide tax returns, sale of assets documentation, investment documentation, business earnings statements, etc.

Tips for parents preparing EB-5 source of funds documentation:

Consult with an immigration attorney about your unique case to best determine which funds to gift. It may be helpful to review all your funding options and select the ones with the highest value and the most straight forward sources to document. Compile, organize and make copies of the documents needed to show the lawful source of funds. Plan ahead and account for time needed to get documents translated.

Why international students are investing in EB-5:

The EB-5 Program is a very attractive visa option because it allows international students to stay in the U.S. after completing their studies and pursue unlimited training and career options. Unlike other visa categories, the EB-5 visa does not require an employer-sponsor, it does not limit a student’s career field options, it does not limit how many hours a student can work during the school year, and it does not have travel restrictions.

In addition to being able to use gifts from their parents as EB-5 investment fund sources, students may also be able to inheritance. Consult with an immigration attorney to determine which documents (inheritance documents, bank statements, etc.) to provide for the sources of funds report.