New law proposed to attract Baby Boomers and Investors to Costa Rica residency programs

[Music] hi this is roger peterson in this video i'm going to discuss the new proposed law to attract and incentivize baby boomers and investors into the costa rican residency program so this is the text in the actual law called law for the attraction of investors rentistas and pensionars it's a bill for a proposed law currently being debated in the legislature of costa rica and it provides here that the objective of this law is to create a legal incentive program to attract investors rentistas and pensionados under the current immigration law in order to contribute for the reactivation of the costa rican economy i'm going to enter into more details about what the law provides and how it could affect or apply to you when you apply for residency in costa rica here in just a second by 2019 the costa rican economy was already contracting and showing signs of weakness unemployment in the fourth quarter of 2019 was already at 12.4 percent and now uh during covid the unemployment rate sits at 24.4 percent so clearly the government is trying all measures possible to reactivate the economy the tourism sector of course with the flights and the airports closed has been one of the hardest hit sectors in costa rica so that backdrop brings us back to the law to attract investors rentistas and pensionados to costa rica now costrika for many years was a pioneer back in 1971 he was a pioneer in the area developing the rentista peninsula law to stimulate its tourism industry and it worked it worked very successfully so the objective of this new law is to bring back some of those incentives that were eliminated under the previous law and those are number one to provide a duty-free vehicle to anybody that's approved under this category to be able to bring in import your vehicle without paying any of the import taxes two the beneficiaries will get a one-time exemption from import taxes for their personal household items and goods that they're bringing in to live in costa rica the third one would be that any income that you've declared as part of your application process as your source of income will then be exempt from any costa rican income tax laws the fourth provision is a discount on the property transfer tax you will be able to get a 20 discount on that transfer tax for any properties that you buy and title and your personal name as the beneficiary of the residency status and the fifth and final provision of the proposed law is the creation of a expedited priority window for those that are applying under the investor rentista or pension auto residency categories at the present time it's all handled by immigration but it's all lumped into the general immigration processing so this would break it out from that and create a specialized window this has been done before for companies so in that scenario a specialized priority window was created at the department of immigration for companies that were bringing in their executives and technical personnel etc and it gave priority and much quicker processing times so the idea is to create a similar window for investors rentistas and pensionados in order to expedite the processing of residency the law also modifies the investor category in one sense basically what it does is it's going to reduce the amount of investment required currently to qualify for investor you need to prove an investment of two hundred thousand dollars and this law proposes to reduce that to one hundred and fifty thousand dollars in the video description i'm gonna include a link to an english translation of the law so you can read it for yourself costa rica always ranks very well as a one of the top travel destinations in the world but also it always ranks in the top 10 of the top retirement destinations in the world part of the reason for this is that costa ricans have always been very welcome towards you now bear in mind that what i have discussed here is a proposed law it's currently pending in the legislature but i will keep you updated and let you know when it's approved and if there are any changes to the content you can also check out my video on how to move to costa rica and how to apply for residency in costa rica both which i will link in the video description and as always if you have comments questions let us know and thank you for watching the video

Channel: CostaRicaLaw

Views: 9,081

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Id: PJuxecA9Ub4

Length: 4min 52sec (292 seconds)

Published: Sun Sep 20 2020