Global wealthy are lining up for Trump’s $1 million Gold Card

A version of this article first appeared in the CNBC’s Inside Wealth bulletin with Robert Frank, a weekly guide for high -valuable investors and consumer. Be a member To get future prints, directly to your box.

According to immigration lawyers, President Donald Trump increased the price of the Golden Card from $ 5 million to $ 1 million, creating one of the most popular agreements in the global visa market, and demand is already increased among the rich of the world.

Last week, Trump signed an executive order that announces the official launch of the gold card, which will cost $ 1 million and will provide a “record time” residence. When the golden card first announced in February, the price was $ 5 million. Gold Card website, in addition to tax advantages, in addition to the future 5 million dollar platinum card, Platinum card was not at the execution order and the press event was not mentioned.

With its new discounted price and quick consent, the gold card has become one of the most sought -after “gold visas” in the world instantly and at a price under many other countries. For example, Singapore’s investment visa program costs approximately $ 8 million, while New Zealand’s new program is slightly below $ 3 million. Even Samoa is more expensive and requires an investment of $ 1.4 million.

“Golden card is almost very cheap,” said Reaz Jafri from the international law firm Withers. “You can access the US education system, health system, banking system and financial markets.

Global rich are ready to write checks. Jafri said he spoke at a family office conference in Singapore this week, and that he was interested in buying a gold card immediately by three Chinese -based families, one of which is based in China and the other. The program said that after leaving the ground and proved, the company would help to process “hundreds of” applications alone.

Trade Secretary Howard Lutnick said the government is planning to publish 80,000 gold cards. With the potential platinum card and new H-1B fees upgraded to $ 100,000, programs are expected to increase 100 billion dollars in federal revenue.

The Golden Card is still facing obstacles. Despite the announcement in the White House last Friday, there is no way to apply for a visa yet. The website, which announced the gold card published in June, requires basic information from potential applicants, including names and countries it resides. So far, people registered to the site have not received any updates, he said.

The program is also likely to challenge the courts and potentially by the congress. Since the migration law was determined by the Congress, the President formed the Golden Card, the existing EB-1 and EB-2 programs with various legal solutions, including the infrastructure or basis of the gold card. The $ 1 million wage is labeled as a “unlimited gift” to the government rather than an official wage change.

According to immigration lawyers, temporary legal status can first give a rich overseas pause. Many applicants will probably wait to see the first gold cards given before spending $ 1 million. And some can wait even more.

“These always take some time,” the Dominic Volek Group special customers in Henley & Partners. “People do not want to be the first person to try it. The majority of our customers want to see the program for three to six months and see the results before making a commitment.”

Volek said that he has already made a series of investigations from customers and expects the program to receive at least 5,000 to 10,000 applications per year.

“When we look at the price point perspective, instead of $ 5 million, it is absolutely more attractive to $ 1 million.” He said. “And if he’s as fast as he says, he’s becoming even more attractive.”

The Golden Card also comes in an opportunity in the global visa market. Geopolitical uncertainty, wars and political tensions increase in the world, ultra rich people buy Alternative citizenship and residences “Plan B” or for fence against their country.

According to a report by New World Wealth and Henley & Partners, the estimated 142,000 millionaire is expected to move to another country in 2025. USA Best destinationsAccording to the report, 7,500 millionaire is expected to move to the US this year. Most of the millionaires coming to America are from Asia, England and Latin America.

According to immigration consultants, the demand for gold cards is mostly likely to come from China and India. However, applicants from these countries may be disappointed. EB-1 and EB-2 programs (which form the basis of the golden card) already have a major subsidiaries from China and India and are stretched for years. If the gold card receivers are allowed to avoid the line due to donations of $ 1 million, the waiting applicants may file a lawsuit. At the same time, if the gold card buyers have to wait for years to confirm, they will not be willing to spend $ 1 million.

Consultants, EB-1 and EB-2 programs through the existing number of visas to a significant extent will probably require the approval of the Congress, he said.

“India and China are actually excluded from the gold card.” He said. “EB-1 and EB-2 routes already have significant accumulated jobs for China and India. Therefore, if you are born in one of these two countries, access to the gold card may not work immediately.”

There are also some negativities on the gold card compared to other gold visa programs in the world. While donations of $ 1 million could not be returned, visas in other countries have been structured as investments that can provide return. And unlike many other countries, US citizens and inhabitants taxes their income worldwide, even if they have been won abroad.

The Platinum card is designed to partially avoid the taxation problem for a higher price. According to the White House, the Platinum card would allow owners to stay in the USA for 270 days a year without paying tax on overseas income. Currently, foreign citizens are subject to a complex IRS daily counting formula known as the “important asset” test, and for a period of three years, they are subject to tax in the United States for 183 days.

Some consultants say that Platinum Card will be a more difficult sales than the gold card, because it does not lead to a green card or citizenship, and has limited benefits for ultra -rich who already spend time in the USA.

David Lesperance from Lesperance Associates said, “He won’t sell well.” “Very few will think that spending more than 91 days in the US is worth $ 5 million”

Others say that gold and platinum cards will appeal to different overseas rich species. The Platinum card may be appealing to billionaires from Asia or Middle East, who wants to be in the United States but want to protect their companies and revenues from US taxes. Jafri said he had already received an investigation about the Platinum card from four Brazilian family offices.

The Golden Card is more suitable for the sons and daughters of the rich who want to go to the United States university and become more competitive in the US labor market after graduation.

“Many of these overseas billionaires do not want to carry out family business and to be an architect, a doctor or engineer and to have regular jobs.” He said. “Or maybe they want to create a start in America. The Golden Card is very attractive for this group.”

Considering the relatively low price of gold and platinum cards, Jafri said that he should consider giving a black card at the end of the White House.

“20 million dollars or 25 million dollars can demand and buyers can exempt from real estate tax,” he said. “This would be a game exchange.