Expats from the United Kingdom may be obliged to re-invest their money in order to get residency.
Expats from the United Kingdom may experience visa nightmares if they are obliged to re-invest their assets in order to achieve residency.
Expats from the United Kingdom will need to do so in order to meet the EU residency visa requirements and acquire permanent residence in EU countries. They’ll also have to show that they and their dependents have enough money to avoid being a financial burden on the government. Every country has its own definition of “income” and “sufficient income.”
Furthermore, many foreigners with investments do not earn “adequate incomes.”
“Many have placed their financial assets in life insurance bonds or UK pension schemes and aim to use the flexible and often tax-efficient withdrawal provisions associated with such structures,” said Jason Porter of Blevins Franks, a financial consultant.
“The potential irregularity of payments, as well as the fact that some of these may not be recognized as entirely comprising income, could have ramifications in terms of achieving the residency permit’s necessary income requirements.”
“Some jurisdictions have evolved an understanding that a simple deposit of the required income for the duration of the residency permit in a readily accessible account is sufficient,” he continued.
“Others are more tighter, expecting to see income in its regular, taxable form, such as earnings, pensions, rentals, dividends, or interest,” says the author.
“These expats will need to seek counsel on what is effectively a balancing act between tax efficiency and achieving the income stream requirements of the residency permits that are best suited to them,” he stated.
Expats will need to show this source of income in order to obtain a visa.
A visa is also required for anyone staying in an EU country for more than 90 days.
The announcement comes after British expats living in EU member states were warned that they would face a “headache” if they returned to the UK and used NHS services.
Visitors to the UK will be charged 150 percent of the cost of any NHS treatment under the new guidelines.
Even if they are British citizens, they can apply.
The adjustments, however, will only apply to Britons who relocated to European Union countries after the Brexit transition period, which expired on December 31, 2020.
Chetal Patel of the Bates Well legal firm. “Brinkwire News in Condensed Form.”