The Congress of Deputies has approved the bill that puts an end to the so-called ‘golden visas’, the visas that were approved under Mariano Rajoy’s administration for non-EU residents who invest more than 500,000 euros in a home.
The Law for the Efficiency of Justice has been approved in the Plenary of Congress and will now be sent to the Senate. It has taken seven months for the Government to find the legislative formula to put an end to these visas, following the announcement of their elimination made by the President of the Executive, Pedro Sánchez, last April.
Specifically, it has been articulated by means of an amendment introduced behind closed doors in the draft law on measures for the efficiency of the public service of Justice, which was approved in the presentation without the presence of the PP deputies, who suspended their activity due to the tragedy caused by the DANA.
The report of the rapporteur included an addition to the draft sent by the Ministry of Justice to leave articles 63, 64, 65, 66 and 67 of Law 14/2013, on support for entrepreneurs, which are precisely those that establish the conditions to qualify for the ‘golden visa’, without content.
However, a transitional provision was introduced to respect the visa for those investors or family members of investors who had applied for it prior to the date of entry into force of the law.
According to the Ministry of Housing and Urban Agenda (MIVAU), around 11,000 such visas have been issued since 2016. And experts believe that their elimination will have a limited impact on the residential market in Spain.
But these visas were not only granted to investors who bought properties worth more than half a million euros; according to article 63, which will be repealed, those who invested more than two million in Spanish public debt securities or more than one million in shares or equity in Spanish companies with a real business activity were also eligible.
The visa was also available to investors who injected more than one million euros in investment funds set up in Spain or in bank deposits in Spanish financial institutions. Another formula to qualify for the visa was to create a business project to be developed in Spain that was considered and accredited as being of general interest.
With regard to the remaining articles, the legislation on the form of accreditation of the investment (Article 64), the effects of the residence visa (Article 65), the residence authorisation for investors (Article 66) and the duration of the residence authorisation (Article 67) are left without content.