I am currently studying in the U.S. with an F-1 visa. My parents are going to gift me money for my EB-5 application with bank loans secured their properties. To prove the legal source of funds, what documents do I need to provide? Do they need to present a statement saying that they are willing to gift me the money?
You need to provide any and all documents affirming that the money is indeed a gift not a loan from your parents. Also, your parents need to document how they acquired the money they are gifting you through records such as bank statements, tax returns, sale of assets that belong to them, how they acquired those assets, etc. In essence, they need to prove that the gift money comes from legal sources.
They should give you a letter saying they are gifting you the funds so you can make an investment in the USA. They will need to show how they acquired their wealth. If they are putting up a property to secure a loan for the funds they are giving you, and the loan must be secured, then they should get appraisals of the secured property to show it is worth more than the loan they will take. Then they need to show that they legally obtained the collateral property. They might have inherited it. They can show tax returns to prove they earned that much money. Experienced EB-5 immigration attorneys can assist you with all these things.
Your instincts are pretty good. Yes, you need a declaration of gift and also evidence on how they got the money out of the properties and the properties in the first place. An EB-5 immigration attorney will be very helpful in gathering the documents and documenting the path of funds.
A simple gift instrument signed by your parents stating that they are gifting you the money would suffice, along with documents to show the legal source of funds for how they acquired their funds.
It is very complex and you should have a lawyer help you, but your parents need to show the source of funding that goes all the way back to them obtaining the money to purchase the properties.
Lots of documents will be needed, including the sourcing of the property acquisition funds. Consult with an attorney.
We usually draft a gift letter and then show the source of their funds to buy property, loan on the property and then transfers from their bank to yours.
They have to show where they got the money that is being used to secure the loan and they need to provide a gifting letter and you need to show how the money was earned as well as a clear path of funds report.
The source of funds for your EB-5 investment must be shown. This includes documents sharing the funds moving from the bank to your parents, from your parents to you, and from you to the EB-5 regional center or EB-5 project.
