As the first quarter of 2017 draws to a close, it is clear that 2017 continues to offer opportunities for companies to expand into the US market, transfer foreign employees to a US branch, and the opportunity for foreign investors to obtain green cards at through qualified capital investment. Yet many people wonder what changes are coming regarding US business immigration law, and whether the new presidential administration will affect their ability to travel to the United States for work or pleasure.
Regardless of any potential changes to US immigration law as a result of the Trump presidency, the United States remains a safe place to invest and grow a business. Since the election, interest in visa programs such as the E2 Treaty Investor Visa and the EB5 Immigrant Investor Visa continue to grow. This may be due in part to the fact that Trump’s immigration rhetoric did not extend to these visa categories. However, since the election, Trump has even backtracked on his hardline stance on the H1B specialty occupation visa category.
While the fate of undocumented aliens in the country remains uncertain, US commercial immigration is likely to remain popular and contribute to the thriving US economy. Additionally, any significant changes in immigration policy of the US will need to be approved by Congress. A sitting president can only do so much by using executive orders.
Some potential clients have raised concerns that a Trump presidency will lead to the dissolution of popular categories of business immigration like the E2 Treaty investor visa. Fortunately, this is unlikely. Many of the E2 Treaty countries have had the relevant treaty with the United States for dozens of years. Some, like the UK, have been around for hundreds. The treaty of commerce and navigation between the United Kingdom and the United States has been in force since the reign of George III, in 1815. The United States can only withdraw from a ratified treaty in accordance with the terms of the agreement. Furthermore, for Trump to unilaterally withdraw would be highly unpopular with E2 treaty countries, the American public, and American citizens who enjoy the same benefits of starting a foreign business in a reciprocal E2 treaty country.
Immigrant entrepreneurs and investors were rarely mentioned during the campaign (if at all), and it was even revealed that President-elect Trump’s son-in-law used EB5 investor funds for one of his real estate development projects. In fact, the recent extension of the EB5 Immigrant Investor Visa Program has made it even more attractive to foreign investors seeking to immigrate permanently to the United States.
The EB5 Regional Center investment was due on December 9, 2016. As in the past, the program was temporarily funded and was extended until April 28, 2017, with no changes to the minimum investment amount or requirements. What makes this extension unique is that it will likely be the last before Congress increases the minimum capital contribution, something that has been under discussion for the past several years. This temporary extension ‘as is’ allows investors to submit their EB5 applications during the first four months of 2017 at a reduced investment amount of $ 500,000 USD for projects located in Specific Employment Areas (TEA). This is certainly a welcome relief for any investor who has not been able to organize their requests before the December 9, 2016 deadline.
Along with the extension of the EB5 Program, USCIS will significantly increase its filing fees for Petition I-526 and Application for Regional Center Designation I-924, effective December 23, 2016. Currently, the filing fee for filing an EB5 Petition is $ 1,500 USD. As of December 23, that rate goes up to $ 3,675 USD – an increase of $ 2,175 USD. Perhaps the most significant EB5 rate increase is for business people seeking to establish a USCIS-approved Regional Center. That fee, which is currently $ 6,230, jumps to $ 17,795, an increase of 186%.
Regional Centers must also submit an annual certification to maintain their designation with USCIS. There is currently no fee for this process, but a fee of $ 3,035 USD will be introduced along with the other USCIS fee changes. The large increase in filing fees for Regional Center Designation aims to prevent EB5 fraud by limiting applications to serious businesses with the means to support large EB5 projects. 2017 is likely to see a decrease in I-924 applications due to the large fee.
The pending USCIS fee increases will affect other categories of US business immigration along with the EB5 visa. Form I-129, used to process L and H1B visas, among others, will increase to $ 460 USD. Sponsoring a foreign worker for a green card through Form I-140 will increase to $ 700 USD. These rate increases, while significantly less than the EB5 rate, can discourage smaller US businesses from sponsoring foreign workers in nonimmigrant or immigrant status.
Despite rate hikes and a new US president, the outlook for commercial immigration in 2017 looks promising. Businesses are still expanding in the United States and the need for specialized foreign employees remains high. The extension of the EB5 Immigrant Investor Visa Program will continue to make the United States a profitable option for immigrant investors seeking permanent resident status.