Anguilla is a British Overseas Territory with a population of around 15,000 people. Anguilla is long and narrow in shape with approximately 16 miles (26 km) in length and 3 miles (5 km) in width. The island is well known for its beautiful beaches that attract many tourists every year. The country is also known for having a robust financial services industry and its tax residency program.
English is the official language, and the local currency is the Eastern Caribbean dollar. The island is a constitutional monarchy, with the British monarch as the head of state.
Why become an Anguillan resident?
Main Advantages for Anguilla Residency Visa Program
- Access to international travel through St. Maarten airport
- No direct taxation: No income tax, no capital gains tax, no corporate tax, no gift tax, no net worth tax, no inheritance tax, no VAT
- Favourable taxation system (ie. low property tax)
- Spouse, minor children, children under the age of 26 who are financially dependent and enrolled in tertiary education fulltime, and parents of the main applicant or spouse can be included in the application
- Full family applications are allowed which makes it a great option for families.
- Route to citizenship possible after five years
- Dual citizenship is permitted
- Return on investment possible through real estate option
- Short processing time (about three months)
- No physical presence requirements for permanent residency, low physical presence requirements for tax residency
How to become a tax resident of Anguilla?
Requirements for Anguilla Permanent Residency Application
- Applicants must be at least 18 years of age
- Applicants must have a clean criminal record
- For the Tax Residency Option:
- Business qualifications and experience
- Genuine ties to Anguilla (ex. bank account)
Routes to Anguilla Permanent Residency
Anguilla has multiple options available to investors in order to achieve residency by investment. Two options offer permanent residency, and the third offers tax residency. These include:
The applicant must contribute a minimum of US$ 150,000 into a government capital development fund. This fund was established to finance projects in the public sector to stimulate Anguilla’s economy. This donation is non-refundable.
An additional US$ 50,000 contribution is required for each dependent added to the application.
The applicant must purchase a real estate property in Anguilla with a minimum value of US$ 750,000. This investment amount will cover an application for a family of four.
For additional dependents, another US$100,000 must be invested.
The property can be residential or commercial, including family homes, condominiums, or hotels. This property cannot be sold for five years after it is purchased.
Tax Residency High-Value Resident Program:
The Tax Residency High-Value Resident (HVR) Program is a good fit for international investors, as it allows them to gain tax residency in Anguilla. The program has several requirements.
- A minimum of US$ 400,000 investment into real estate property, kept for a minimum of five years
- An annual tax payment of US$75,000 to the Anguilla government
- Genuine links to Anguilla (ex. bank accounts, memberships)
- Declaration of having spent no more than half the year (183 days) in another country, and at least 45 days in Anguilla
Processing fees are US$ 3,000 for a family of four, and an additional US$ 500 for any additional family members.
The fees for the real estate are US$ 10,000 for a single applicant, US$20,000 for a family of four, and US$ 5,000 for any additional family member
Due diligence fees are US$ 7,500 for a single applicant and US$ 3,000 for dependents.
Procedure for Anguilla Permanent Residency Application
One can expect that the application process for residency in Monaco to include the following:
- Clients make contact
- Initial due diligence checks are performed to determine eligibility
- Client agreement is signed, and retainer is paid
- Files are prepared and required documents are collected
- Documents and application are submitted to the government on your behalf
- If accepted, a letter of approval in principle will be sent to you
- Once the letter of approval in principle is received, you will proceed with the investment
- Formal approval is given once evidence is received by Anguilla authorities that the investment is completed
- If approved, a residency card will be issued
- After five years as a resident, you may apply for British Overseas Territories Citizenship and an Anguillan passport.
Documents Required for Anguilla Residency Application
- Anguilla residency application form
- Proof of paid fees
- Copy of passport
- Certified copy of birth certificate
- National ID card
- Passport photos
- Certified copy of marriage certificate (if applicable)
- Certified copy of divorce certificate (if applicable)
- Bank statements
- Other supporting documents for tax residency
- Reference letters
- Business qualifications
- Any other additional documents for your dependents
Are there a minimum income or net worth requirements?
No, applicants must only provide proof of their investment to obtain residency in Anguilla. Applicants for tax residency must prove the ability to readily transfer to first five years of tax payments.
Are there any education or work experience requirements?
No. Investors do not have to have any particular education background or work experience for permanent residency. However, for tax residency, investors will have to provide their CV and business qualifications.
Is there a language requirement or language test?
No, there is no language requirement or test for Anguillan residency, but an English language test may be required for citizenship.
How long is the residence card valid for?
The permanent residence card is valid indefinitely. In other words, residency is granted permanently. For the tax residency program, tax residents can remain in Anguilla for as long as they require, so long as their investment is maintained. However, they must commit to a minimum of five years’ worth of investment.
Can the applicant work legally in Anguilla?
Yes, as permanent residents, you are eligible to work in Anguilla, although a work permit is required.
Is it possible to apply for citizenship?
Yes, to qualify for citizenship, you must be a resident of Anguilla for a minimum of five years, complying with the residence by investment program requirements. This includes maintaining your real estate investment for the minimum five years, and residing in Anguilla for 9 months per year.
Does Anguilla allow dual citizenship?
Yes, dual citizenship is permitted by Anguilla.
Can I apply for the residence by investment program directly?
No. You must go through an approved agent. The agent will act as a communicator between you and the Anguilla authorities about your application. They will also assist in gathering the required documents and filling out the application itself.
Can my residency status be revoked?
Yes, in certain situations, your permanent residency status may be revoked, in accordance with Sections 24 and 25 of the Immigration and Passport Act. This includes any breach of conditions of the residency program (ie. selling your real estate investment property before the required five years holding period), or involvement in illegal activity.
Anguilla Residence by Investment Program
Anguilla joined the long list of countries offering residence by investment programs in 2019. In fact, it created two programs aimed at attracting foreign investors in exchange for residency. The purpose of the program is to encourage investment to stimulate the local economy through the real estate market and capital development through government funds.
The first program, known as Anguilla Select, offers permanent residency in exchange for investment in a government fund or real estate. This program is appealing to those who want to transition to a lower-tax jurisdiction that boasts the high quality of life that Anguilla has to offer, with a route to British Overseas Territories Citizenship.
The second option offers tax residency, which is better suited to those who are only looking for a more straightforward tax residence. This program is equally appealing to those who continue to live abroad, desiring an alternate country of residence for tax planning and other purposes.
Unlike other Caribbean programs, Anguilla does not offer a direct route to citizenship. However, applicants seeking residency can apply for citizenship by naturalization after just five years of residency in Anguilla. As a result, successful applicants will have an Anguillan passport and British Overseas Territory Citizenship.
The minimum investment required for the permanent residency program is US$ 150,000. The process takes only about three months.
Anguilla: General Information
While Anguilla is only 91 km2 in size, it boasts over 40 beaches. It is known as one of the safest, most laid-back islands in the Caribbean, with amazing views and warm weather.
In addition to its stunning beauty, Anguilla is also home to one of the most attractive tax systems in the world. The island has no direct taxation, meaning no income tax, capital gains tax, corporate tax, gift tax, net worth tax, inheritance tax, not even VAT!
With almost zero taxation, the government of Anguilla maintains the island by leveraging customs duties. Those who participate in the residence by investment programs offered by Anguilla benefit from this taxation scheme in exchange for their investment into the Anguillan economy. Anguilla is also a well-regulated offshore jurisdiction for fund and trust management, estate planning, and business organization.
Anguilla is a perfect home for those who want to transition to a low-tax jurisdiction with countless financial opportunities, that equally boasts slower paced living, clean environment, low crime, and an overall good quality of life set in a tropical climate.
Disclaimer: The information provided is for informational purposes only and is not intended as legal, financial, or professional advice. The information contained here should not be relied upon as a substitute for consultation with professional experts. While every effort has been made to provide accurate and up-to-date information, no guarantees are made regarding the completeness, accuracy, or reliability of the information provided. The user assumes all responsibility for the use of the information and understands that the information is subject to change without notice. Any reliance on the information is at the user’s own risk. JH Marlin Law and its affiliates are not responsible or liable for any loss or damage of any kind arising from or in connection with the use of the information provide