To qualify for an EB-5 visa, the investor will need to show that the invested capital came from a lawful source. In general, funds obtained by any lawful means are acceptable, including the sale of real estate. To prove the lawful source of the investment funds, substantial supporting documents will need to be included with the EB-5 application submitted to the U.S. Citizenship and Immigration Service (USCIS). The following documents, if available, should be included with the application to prove that the sale of real property is the lawful source of the investment funds.
• Income tax returns for the past five years. The investor should submit his or her individual tax returns for the past five years. In situations where a company pays taxes on behalf of the employee, records from the company showing that such filings have been made should be included with the EB-5 application. An inability to provide tax returns may be offset by providing the other mentioned documents in this section. USCIS will look at the submitted documents as a whole when determining the lawful source of the investment capital.
• Investor’s capital source statement. The investor should include a statement detailing the manner in which the real property was acquired, the length of time he or she owned the property and the capital gain from the sale of the property.
• Bank statements showing earnings from the sale of the property. Bank statements of the investor should be included with the application to demonstrate funds from the sale of the real property were deposited into the investor’s account.
• Real property sales contract. To establish that the investment funds came from the sale of the real property, the investor should include the sales contract with the EB-5 application.
• Real property purchasing invoice. A purchase invoice for the property should be submitted with the application to demonstrate that the investor owned the real estate.
• Real property ownership certificate. An ownership certificate should be submitted as evidence that the investor owned the property.
• Tax certificate. To further demonstrate ownership, the investor should submit a tax certificate demonstrating the payment of taxes on the property.
• Documents evidencing lawful source of funds used to purchase the property. The investor should also submit documents proving that he or she initially purchased the property with lawful capital. The documents demonstrating the lawfulness of funds used to purchase the property will depend on how the lender obtained the capital. Please refer to the appropriate source of funds section of our website for a list of documents that may be used to prove the lawfulness of the capital used to purchase the property.
• If invested funds are derived from rental income of real property as opposed to the sale of real property, the following documents will help demonstrate the source of income:
1) Leasing agreement. A leasing agreement between the investor and renter of the property should be submitted with the application to demonstrate that the investment funds were derived from leasing income.
2) Bank statement evidencing deposit of rent and accumulation of rental income. Bank statements of the investor should be included with the application to demonstrate rental deposits into the investor’s account. The bank statements should show that the rental payments were deposited over time and accumulated to the investment amount in the account.
3) Leasing income tax records. Income tax records should also be included in the application to demonstrate the income tax was paid on the lease income.
Please note that these are general suggestions and by themselves do not guarantee approval of an EB-5 submission. At the Law Offices of Vaughan de Kirby, we can help you through the entire EB-5 process – and help you make the best decision for you and your family. Call us today to schedule a free meeting at 415-221-2345.