The implementation of the Government's Industry Innovation and Competitiveness Agenda has seen changes to the existing Significant Investor (SIV) subclass 188 and 888 visa streams and the introduction of the new Premium Investor (PIV) subclass 188 and 888 visa streams.
- Overview
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Additional Nominating body
To initiate the investor visa processes, applicants are required to lodge an expression of interest before they are invited to apply for the relevant visa and are nominated by a nominating body. Where previously applicants were required to be nominated by state or territory government agencies only, Austrade has now become a nominating agency for SIV applications (in addition to the State and Territory governments) and has become the sole nominator for the new PIV stream.
- SIV Stream
Flexible Requirement to Reside in Australia
Previously the primary applicant was required to reside in the State or Territory whose government agency had nominated the applicant for a certain number of days per year. This requirement may now be fulfilled by the primary applicant's spouse or de facto partner instead. However, for the requirement to be fulfilled in this way, the spouse or de facto partner must have been in Australia for at least 180 days for each year in which the applicant has held the subclass 188. This is significantly longer than the requirement as it applies to the primary applicant who is only required to be in Australia for 40 days per year. In effect this ensures investors with families make a genuine commitment to Australia while allowing flexibility for the primary applicant to operate globally.
The requirement to reside in Australia has been significantly altered by the addition of Austrade as a nominating body as if the applicant is nominated by Austrade, there is no requirement to remain in the nominating state.
Increased Length of Visa Grant
Where previously a subclass 188 allowed the holder to travel to, enter and remain in Australia for 4 years, as of 1 July 2015, the temporary visa now permits the holder to travel to, enter and remain in Australia for 4 years and 3 months from the date of grant. This allows sufficient time for the applicant to fulfil the requirements for the subclass 888 permanent visa, as to be eligible for a subclass 888, the applicant must have held the complying significant investment for 4 years.
- PIV Stream
Requirement to hold investment
Compared to the 4 year period that SIV applicants are required to maintain their investment for before applying for permanent residency, the PIV stream allows fast-tracked permanent residency by requiring the investment to be maintained for a continuous period of just one year. There is also no residency requirement for eligibility for permanent residency as the nominator is Austrade.
Notion of 'philanthropic contribution'
Within the premium investment stream only, a complying investment may take the form of a 'philanthropic contribution'. This phrase has purposely been left to its broad, ordinary meaning in order to give the State and Territory government agencies approving the philanthropic contribution the flexibility to determine what may constitute a 'philanthropic contribution' for the purposes of the Migration Regulations. Further, although it is a requirement to obtain a subclass 188 that the applicant has a genuine intention to hold the complying PIV for the whole of the visa period, this requirement expressly does not apply to philanthropic contributions.
This publication does not deal with every important topic or change in law and is not intended to be relied upon as a substitute for legal or other advice that may be relevant to the reader's specific circumstances. If you have found this publication of interest and would like to know more or wish to obtain legal advice relevant to your circumstances please contact one of the named individuals listed.
