Christmas webinar: Citizenship by investment program (CIP) in Montenegro Deloitte Sebria 12 December 2018

Transcription

1 Christmas webinar: Citizenship by investment program (CIP) in Montenegro Deloitte Sebria 12 December 2018

2 Deloitte Serbia Global Employer Services Dejan Mrakovic Partner Tatjana Milenkovic Director Aleksandra Anokic Senior consultant Nikola Vrbanovic Consultant

3 Contents About Montenegro 4 CIP in Montenegro 6 Taxation in Montenegro 14 Why Montenegro 15

4 About Montenegro The smallest ex-yugoslav Republic country (approx. 650,000 citizens) A wide range of investment possibilities with outstanding geographical diversities and landscapes One of the fastest growing economies in the region An ideal destination for families looking for security, mobility and European lifestyle Economy is transitioning to a market system 90% of Montenegrin state-owned companies have been privatized, including 100% of banking, telecommunications and oil distribution 20% of Montenegro s GDP generated from tourisam

5 Passport International travel 10 years validity Visa-free & visa on arrival for 117 countries and territories, including the Schengen Area (EU), Switzerland and Singapore 38 th in the world (Passport Index data)

6 Citizenship by investment program Key notes Launched in October 2018 Implementation as of January 1 st, 2019 Significant potential for cash injections in economy Strategic investments for modernization and diversification of Montenegrin economy

7 Citizenship by investment program 3 years program 2,000 citizenships Investment in development Highest transparency level

8 Preconditions Valid passport Source and origin of invested funds documentation No criminal record No disease record Positive opinion of the due diligence agent Power of attorney and the investment agreement

9 Application fees Applicant EUR 15,000 Max 4 family members EUR 10,000 More than 4 family members EUR 50,000 Applicant Spouse Children >18 Children <18

10 Investment options Government Fund Contribution 100,000 government fund donation Tourism, Agriculture or Industry Investment 250,000 investment in the Northern/Central region or 450,000 investment in the Coastal region and Podgorica

11 Investment options Touristic development projects Coastal region and Podgorica Northern/Central region Min 5 stars rating Min 60 accommodation units Min EUR 15 million investment Min 80 new employees Min 4 stars rating Min 35 accommodation units Min EUR 5 million investment Min 25 new employees Agriculture and Industry development projects

12 The process Rigorous and diligent preparation Approx. 4 to 6 months completion Application and preapproval by authorized agent 1 Application Submission to the Government 2 Government processing and due diligence checks 3 4 Approval Investment & Donation 5 6 Citizenship certificate Passport 7

13 Deprivation Deliberately concealing information False information by applicant False information by the agent Less than 5 days spent in Montenegro in 5 calendar years

14 Taxation in Montenegro Corporate Income Tax 9% VAT 21%/7% Withholding Tax 9% Tax Summary Property Tax 0.25%-1% Capital Gains Tax 9% Personal Income Tax 9%/11%

15 Why Montenegro? Economy Memberships Official candidate for EU membership and a full member of NATO, UN and WTO organizations New luxury tourism complexes on the Adriatic cost Energy and agriculture as two distinct pillars of the economy Crime One of the lowest crime rates in Europe Location Strategic geographical location in Europe with direct access to Adriatic Sea Taxes Low tax policy for established businesses Residence and work Legal framework for fast and inexpensive business immigration One month temporary residence and work permit procedure Citizenship Dual citizenship allowed only for this program

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