New regulations impact work and residence permits

IMPACT – MEDIUM

What is the change? The National Immigration Authority has announced new regulatory provisions for Guatemalan visa and residence permits.

Key points:

• New requirements for Category “C” visa applicants. Category “C” nationals applying for visas must now submit criminal and/or police records from the countries where they have resided over the last five years.
• Locally sponsored employment. Guatemalans sponsoring foreigners must register with the sponsor registry of the Guatemalan Immigration Institute.
• Work permits. When applying for a residence permit, the employee must submit a legalized copy of the work permit to the Guatemalan Immigration Institute within three months of the adjudication of the work permit.
• Temporary residence. Foreign nationals applying for a temporary residence permit must attach a job offer letter specifying the conditions of work—such as length of the contract, form of remuneration and work location—to the application.
• Temporary residence for investors. When applying for a temporary residence for investors, applicants must indicate the economic activity in which they will engage, and will need to present documentary evidence that the investment is greater than US$100,000.
• Permanent residence. Foreign nationals who have held a temporary residence permit for at least five years will be eligible for permanent residency.
• Tax filing. Temporary residents must submit their tax solvency document annually to the Office of Immigration Affairs. Failure to comply may result in fines.
• Entry and exit. All foreign nationals applying for a residence permit in Guatemala must obtain a single- or multiple-entry visa (valid for 90 days, non-renewable) when leaving the country during the processing of their residence permit.

Analysis & Comments: Companies should take note of the new provisions, as they may add additional application requirements and increase processing times for work and residence permits.

Source: Deloitte LLP. Deloitte LLP is a limited liability partnership registered in England and Wales with registered number OC303675 and its registered office at 1 New Street Square, London EC4A 3HQ, United Kingdom.