The Luxembourg Golden Visa is a residency program that gives investors who pour into the national economy either residency or citizenship. Over the years, many investors and business professionals have found securing Luxembourg Citizenship by Investment to be worthy of consideration.
At its core, Luxembourg Residence by Investment is specifically tailored to overseas investors and skilled professionals. In order to get this Golden Visa, Luxembourg has four investment requirements from which aspiring residents can select.
Let鈥檚 carefully break them down:
- Invest at least 鈧�500,000 in a business with a registered Luxembourg office. This investment must be maintained for no less than five years.
- Invest at least 鈧�500,000 in an upcoming business with a registered Luxembourg office. Within three years, this business must generate at least five full-time positions with staff recruitments aided by the National Employment Agency.
- Contribute at least 鈧�3 million to a management and investment structure.
- Make at least a 鈧�20 million deposit into a Luxembourg financial institution. This deposit must be maintained for at least five years.
Benefits of the Luxembourg Golden Visa
Acquiring the Luxembourg Golden Visa program comes with a series of worthwhile benefits, especially over the long term. Individuals interested in visa free travel within the Schengen area, lucrative investment projects, eligibility for immediate relatives, and eventual Luxembourg citizenship have a lot to gain from this visa.
Wealth Management Opportunities
Going through with Luxembourg immigration means having access to a series of upscale financial services that most people only dream of. With a diverse, robust economy that鈥檚 largely fueled by tech, finance, and other adjacent industries, this nation is ripe with opportunities for retirement planning, investment management, and tax optimization.
While learning how to get Luxembourg citizenship, it鈥檚 also important to know the tax benefits are quite favorable. Uniquely designed to appeal to highly skilled professionals and expatriates, once you gain residence permits, you鈥檒l have access to a series of deductions, depending on your individual circumstances.
Visa-Free Access and Travel
After meeting the Luxembourg citizenship requirements and gaining residency, you鈥檒l get visa-free access to dozens of countries in the Schengen area, along with 160 countries around the world. This means being able to travel to and from these nations without having to go through border checks each and every time.
As an added bonus, travel benefits of the Luxembourg Golden Visa also extend to long term travel. Upon acquiring residency, you鈥檒l be able to spend three months away from your new residence within a six month period. All in all, the perks of deciding to invest in Luxembourg tend to bode well for travelers and/or international business professionals.
Permanent Residency Options
After five years of residency under the golden visa, Luxembourg extends opportunities for permanent residency. Depending on your situation, employment-based visas may prove to be most efficient; though Luxembourg citizenship is also available under humanitarian visas. Once you鈥檝e acquired Luxembourg Citizenship by Investment, you may be able to pursue residency permits for your family as well.
Eligibility Criteria for Investors
Pursuing Luxembourg Residence by Investment means having to meet a series of eligibility criteria. From adhering to the investment requirements to passing medical tests and criminal background checks, the country takes these following matters quite seriously. If you are not able to meet investment, legal, and medical metrics, you will not be able to obtain the Luxembourg Golden Visa.
Minimum Investment Requirements
To invest in Luxembourg, investments in a business registered with the country are mandatory, unless you contribute to a Luxembourg financial institution or a management and investment structure.
Let鈥檚 review the minimum investments needed to qualify for a Luxembourg Golden Visa:
- Invest at least 鈧�500,000 in a business with a registered Luxembourg office. This investment must be maintained for no less than five years.
- Invest at least 鈧�500,000 in an upcoming business with a registered Luxembourg office. Within three years, this business must generate at least five full-time positions with staff recruitments aided by the National Employment Agency.
- Contribute at least 鈧�3 million to a management and investment structure.
- Make at least a 鈧�20 million deposit into a Luxembourg financial institution. This deposit must be maintained for at least five years.
Criminal Record Checks
To qualify for the golden visa, Luxembourg mandates that you have a clean criminal record. Once you formally begin the residency process, the nation will require you to submit a criminal records certificate from your current home country.
If you鈥檝e ever lived in other countries for more than one year, the Luxembourg immigration process will require a criminal records certificate from these places as well. This is an essential part of the vetting process to make sure you qualify for not just legal residency, but also volunteering and employment opportunities.
Medical Check Requirements
As part of the application process for a golden visa, Luxembourg mandates proof of health insurance coverage. Upon arriving in the country, you鈥檒l then need to be medically examined by a Luxembourg doctor. This doctor will screen for tuberculosis and other medical infections. If all goes well, at the end of the examination, you鈥檒l be given a certificate of health.
Investment Structures in Luxembourg
Before you invest in Luxembourg, it鈥檚 a good idea to understand the nation鈥檚 investment structure. This means knowing which properties are most likely to yield a high return on investment. Depending on your business portfolio, some real estate opportunities may prove to be more lucrative than others.
Real Estate Investments
Real estate investments can be major assets, especially if you鈥檙e interested in long term Luxembourg citizenship. Investing in residential, commercial, and/or industrial properties can generate passive income while also enriching your financial portfolio.
Let鈥檚 break this down:
Residential properties: If you鈥檙e interested in a golden visa, Luxembourg residential properties can prove to be wonderful financial assets. Renting or subletting these residences means generating passive income, which will come in handy as Luxembourg reviews your socio-economic viability. However, maintenance, repairs, or evicting bad tenants can eat up considerable time and resources.
Commercial properties: When seeking a Luxembourg Golden Visa, having commercial properties in your real estate portfolio can work to your advantage. These properties are known for generating not just passive income, but also premier tax advantages and capital gains. Though the bar of entry is high, owing to the significant investment that鈥檚 required just to get started.Industrial properties: Industrial property investments are key to diversifying your real estate portfolio, while also providing opportunities for value appreciation, long term leases, and steady income. As you鈥檙e seeking Luxembourg Residence by Investment, having industrial properties under your name will demonstrate your financial means to self-sustain and benefit the nation鈥檚 economy.
Step-By-Step Process for Luxembourg Residence by Investment
To know how to get Luxembourg citizenship or residency first requires understanding six important steps. Knowing the ins and outs of this roughly six-month long process ahead of time will prove to be beneficial. Not only does it prevent you from running into avoidable problems, but knowing the Luxembourg citizenship requirements also helps you to prepare accordingly.
Gather the Necessary Documentation
Before submitting your application to get a golden visa, Luxembourg requires that you have the following documents:
- Birth certificate
- Passport
- Health Insurance
- Temporary visa to stay
- Criminal records certificate
- Formal arrival declaration
- Marriage and/or divorce certificate(s) if applicable
- Proof of suitable housing accommodations, such as property deed or rental agreement
Submit Your Application
Once you鈥檝e gathered the aforementioned documents and completed due diligence, you can then submit your application for a Luxembourg Golden Visa to the Ministry of Economy or Ministry of Finance.
Go Through the Pre-Approval Process
Upon submission of your application, Luxembourg will review everything for a final time. Once you鈥檝e been approved, the Ministry of Foreign Affairs will contact your current nation of residence to request a category D visa. This visa must then be picked up at the embassy or local consulate.
Make the Mandatory Investment
Once you鈥檝e been approved, you鈥檒l then need to make the necessary investment in order to proceed with the Luxembourg immigration process. You should only make this investment after your application has been accepted by Luxembourg.
Go Through the Necessary Checks
After receiving authorization for a golden visa, Luxembourg gives you 90 days to go through a medical check and turn in your residence permit application. After arriving in the country, you will have three days to formally register your residency with the government.
Receive Your Luxembourg Golden Visa
After passing the approval process, making the mandatory investment, and going through the necessary checks, you will then have completed the Luxembourg Residence by Investment process.
Key Takeaways
Over the years, many affluent business people, investors, and expatriates have found the Luxembourg Golden Visa to be quite beneficial. This program caters to individuals with high-level skills, impressive financial portfolios, and other assets that are of value to Luxembourg.
If you鈥檙e ready to begin pursuing Luxembourg Citizenship by Investment, try to understand the Luxembourg Golden Visa application process and make sure you meet all the necessary requirements.
Frequently Asked Questions
What is the minimum investment required for the Luxembourg Golden Visa?
Here are four options:
- Business Investment: At least 鈧�500,000
- Startup Investment: At least 鈧�500,000
- Management and Investment Structure Contribution: At least 鈧�3 million.
- Financial Institution Deposit: At least 鈧�20 million.
What are the benefits of obtaining a Luxembourg Golden Visa?
The Luxembourg Investor Visa program provides the benefits below:
- Access to visa-free travel
- Potential route to permanent residency and citizenship after five years.
- Eligibility to include your family members in the application.
- Favorable tax treatment for individuals and businesses.
