The US Virgin Islands is an overseas territory of the United States located in the Caribbean. In recent years, the US Virgin Islands has become a popular destination for high net worth individuals seeking a second citizenship through investment. The territory launched its Citizenship by Investment program in 2020, allowing foreign nationals to obtain US Virgin Islands citizenship by making a one-time investment into the government fund. The benefits of US Virgin Islands citizenship are enormous – including visa-free access to over 100 countries, right to live and work in the US, and future settlement opportunities there. For global families seeking mobility, security, and wealth preservation, the US Virgin Islands citizenship by investment program presents a worthwhile option.
Overview of US Virgin Islands Citizenship by Investment Program
The US Virgin Islands Citizenship by Investment Program was enacted in 2020 to attract foreign investment and aid the territory’s economic development. Under the program, applicants can invest either $100,000 into the territory’s Economic Development Fund or $150,000 into an approved real estate project. The main requirements are holding no criminal record, demonstrating the legal source of funds, proving financial self-sufficiency, and making the qualified investment.
The processing time is around 6 months and successful applicants gain full US Virgin Islands citizenship – meaning they hold a US Virgin Islands passport allowing visa-free travel to over 100 countries. Importantly, they are not considered US citizens or permanent residents. However, US Virgin Islands passport holders have an eased pathway to US residence through the E-2 investor visa. The territory also has no tax on worldwide income, making it a desirable residency option.
Key Benefits of US Virgin Islands Citizenship Program
There are several advantages to obtaining citizenship through the US Virgin Islands investment scheme compared to other Caribbean citizenship by investment programs:
Visa-Free Access – The US Virgin Islands passport enjoys visa-free entry to major countries like UK, Schengen area, Singapore, and Hong Kong. In total, it grants access to over 100 destinations. This level of travel freedom surpasses other Caribbean CBI passports.
US Ties – As a US territory, the US Virgin Islands offers special access and pathways to the United States. For instance, E-2 investor visas are more readily available and future US settlement is possible.
Tax Benefits – The territory does not tax worldwide income, dividends, wealth, inheritance or capital gains. This makes it an excellent option for wealth management purposes.
Real Estate Option – The program provides a real estate investment option of $150,000, offering investors a tangible asset. Many CBI programs are donation-based only.
Stringent Vetting – The US has authority over the territory’s citizenship program, ensuring thorough security checks on applicants.
Considerations When Investing for US Virgin Islands Citizenship
Despite the advantages, there are some key considerations to weigh up when seeking citizenship in the US Virgin Islands program:
– Cost – The program is not the most affordable, with the real estate option equating to other Caribbean programs like St Kitts. However the E-2 US visa potential balances out the higher cost.
– No Right of Abode in US – While US Virgin Islands citizens have access to the US, they do not have right of abode meaning permanent settlement is difficult. Independent legal advice is recommended before applying based on future US opportunities.
– Limited Number of Visas Available – Only 700 applications are approved under the program each year. Therefore investors must act fast once the program opens for the year.
– Residence Requirement – Investors must visit the islands at least once in the 5 years before applying and be present for 7-14 days to take the Oath of Allegiance. This may deter investors strictly wanting a citizenship for convenience.
Overall, the US Virgin Islands Citizenship by Investment Program offers a strong passport and unique US connections. But the higher price tag, limited places and residence obligation needs to be carefully weighed up.
Conclusion on US Virgin Islands Citizenship Program
The US Virgin Islands Citizenship by Investment Program provides an attractive route for high net worth individuals to obtain a second citizenship and some unique advantages related to future US access. While the investment amounts are slightly higher than the Caribbean average, the visa-free travel and tax benefits are significant. However, applicants need to factor in the limited number of places per year, obligation to visit the territory, and restrictions around living permanently in the US. For investors who value strong mobility, tax optimization and potential US ties, the US Virgin Islands program can deliver a high return on investment. Independent professional advice is recommended to assess personal circumstances.
The US Virgin Islands citizenship program requires an investment of $100,000 or $150,000 for a second citizenship allowing visa-free travel to over 100 destinations. The program offers connections to the US like the E-2 investor visa but does not provide the right of abode. Overall, the program offers a strong passport and benefits for the right investor profile seeking mobility, tax optimization and US access.