President signs Law to attract more investors, residents and retirees

In 1992 the Costa Rican government did away with the pensionado law which enabled those who qualified to import a car and house hold goods tax free.

Good news for future expats! Costa Rica’s president, Rodrigo Chaves, just signed the regulations for Law No. 9996 to attract investors, residents, and pensioners. This new law is similar but not the same as the old pensionado law. Under the old law, all that you needed was a guaranteed income of around $700 month to qualify for retiree status (pensionado) and all of the perks. The new law requires an investment instead.

Basically, it simplifies the procedures for foreigners to investment and do business.

The regulation establishes the conditions that regulate foreigners known as rentier residents (rentistas), pensioner residents (pensionados) and investors (inversionistas), with investments of no less than US$150,000. For instance, the purchase of a home worth $150,000 or more.

It also regulates the creation of preferential windows for these requests through the Dirección General de Migración y Extranjería (DGME) – Costa Rica’s immigration service.

The regulation also requires the DGME to access the public databases to verify the investment data and other requirements.

Furthermore, this regulation controls the application of tax exemptions on issues such as the importation of household items, and the importation of up to two vehicles for land, air and/or maritime transport, among others.

This law is in addition to the Digital Nomad Law https://ticotimes.net/2022/07/12/costa-rica-digital-nomad-visa-all-you-need-to-know as the Government tries to attract more foreign investment to help boost the country’s economy.