The EB-5 Immigrant Investor Program allows foreign nationals to obtain U.S. permanent residency (a green card) by investing in a qualifying U.S. business. To qualify, an investor must:
- Invest a minimum of $800,000 in a targeted employment area (TEA) or $1,050,000 in a non-TEA project.
- Show that the investment will create or preserve at least 10 full-time jobs for U.S. workers.
- Provide a lawful source of funds documentation, including bank records, tax returns, and proof of asset sales or gifts.
One of the most common complexities in EB-5 cases involves funds and gifts.
EB-5 Funds and Gifts:
Investors may use personal savings, business proceeds, loans, or even gifts to fund their EB-5 investment. However, the law requires that:
- The source of funds must be lawful and traceable.
- If funds come from a gift, the donor’s ability to provide the gift must also be proven (e.g., donor’s bank records, income evidence, or asset sale documents).
- The gift must be irrevocable, meaning the donor cannot later demand repayment.
In Borushevskyi v. USCIS, the issue was whether gifted funds for EB-5 investment are acceptable. The court confirmed that gifts are permissible under EB-5 regulations, but the source of the gifted funds must be lawful and well-documented. Without clear tracing, USCIS can deny the petition.
Also in Fu v. Fu, the question was whether a gift could later be revoked. The court held that a valid gift is irrevocable, supporting EB-5 requirements that investment capital cannot be subject to withdrawal or repayment obligations.
Contact an EB-5 Lawyer in Vancouver at YA Law Corporation:
If you are considering the EB-5 investment visa program, it is critical to structure your funds and document your gift sources correctly. For professional guidance, contact Homa Yahyavi, Vancouver Immigration Lawyer.