Increased security deposit fees announced
3 Oct 19
IMPACT – MEDIUM
What is the change? Costa Rica has significantly increased security deposit fees, impacting residence visa applications as well as other immigration processes.
What does the change mean? Security deposits for temporary and permanent residence visa, residence visa change of status and restricted entry visa applications now vary from US$300 to US$4,800, depending on nationality.
- Effective date: Sept. 23.
- Visas/permits affected: Temporary and permanent residence visas, residence visa change of status, restricted entry visas.
- Who is affected: Companies sponsoring these visas for foreign employees.
Background: Applicants for a temporary or permanent residence visa or a restricted entry visa are required to pay a security deposit upon approval of their visa. The deposit ensures that officials would be able to cover the cost of the foreign national’s deportation or repatriation, if necessary. Previously, security deposits for residence visa applications, change of status and restricted entry visas were capped at US$300.
Below is a list of the new security deposit fees by country:
Analysis & Comments: The change represents a significant increase in security deposit fees for all nationalities. While applications submitted before the change should not be impacted, employers should wait for the resolution of their cases to determine whether additional fees are required.
Employers should budget for the increase and prepare to account for a much higher deposit for employees submitting residence visa applications. Additionally, employers must return foreign employees’ DIMEX cards to the Costa Rican immigration authorities for cancellation once the employees have ceased working for the Costa Rican company. Upon cancellation, immigration authorities will refund the security deposit to the company.
Source: Deloitte refers to one or more of Deloitte Touche Tohmatsu Limited (“DTTL”), its global network of member firms, and their related entities. DTTL (also referred to as “Deloitte Global”) and each of its member firms are legally separate and independent entities. DTTL does not provide services to clients. Please see www.deloitte.com/about to learn more. Deloitte Legal means the legal practices of Deloitte Touche Tohmatsu Limited member firms or their affiliates that provide legal services. For legal, regulatory and other reasons, not all member firms provide legal services. This communication contains general information only, and none of Deloitte Touche Tohmatsu Limited, its member firms or their related entities (collectively, the “Deloitte network”) is, by means of this communication, rendering professional advice or services. Before making any decision or taking any action that may affect your finances or your business, you should consult a qualified professional adviser. No entity in the Deloitte network shall be responsible for any loss whatsoever sustained by any person who relies on this communication. © 2019. For information, contact Deloitte Touche Tohmatsu Limited.