POLICY CHANGES RELATIVE TO THE IMPLEMENTATION OF THE SPECIAL REDUCED DEPOSIT
In order to liberalize the requirements of the Authority’s program and to make it more competitive with the programs of other countries and attractive to prospective foreign retirees, the following changes, pursuant to Resolution No. 24, Series of 2006, of the Board of Trustees, in the rules and regulations of the Philippine Retirement Authority for retiree enlistment in its program are hereby adopted,effective 29 May 2006.
Special Reduced Deposit – For principal applicants who are applying for Special Resident Retiree Visa, the minimum qualifying deposit is reduced as follows:
|35-49 years old||US$ 75,000.00||US$ 75,000.00|
|50 years and above||US$ 50,000.00||US$ 20,000.00|
Holding Period – Retirees enrolled under this Program may be allowed to withdraw their deposit for "conversion" into an investment after a holding period of thirty (30) days from the date of the issuance of SRR Visa.
Visitorial Fee – For every conversion of the retiree’s deposit into an investment, the concerned retiree will pay the visitorial fee as follows:
|Deposit/s||Annual Visitorial Fee|
|US$ 20,000.00||US$ 500.00 or its peso equivalent|
|US$ 50,000.00||US$ 750.00 or its peso equivalent|
Areas of Investment – The areas of investments for visa holders under the Special Reduced Deposit Scheme shall be strictly limited to the following:
|a.||Purchase, acquisition and ownership of a condominium unit;|
|b.||Long-term lease of house and lot, condominium or townhouse which should not be for a period shorter than 20 years;|
|c.||Purchase, acquisition and ownership of golf or country club share/s; or|
|d.||Investment in shares of stocks of corporations duly registered in the Philippine Stock Exchange|
All applications for conversion of deposit shall be submitted to the Board of Trustees for its approval.
Applicability of the Program – The program is an experimental project for six (6) months and shall apply ONLY to new applicants. Previous SRRV holders CANNOT re-apply for SRRV under this Program.
Following the implementation of PRA Circular No. 01, dated 12 May 2006 effective 28 May 2006, re Policy Changes Relative to the Implementation of the Special Reduced Deposit, it is further provided that in the event the retiree's investment is depleted or its value reduced lower than the required deposit/investment, the retiree shall be required to either:
|a.||Redeposit US$20,000.00 or US$50,000.00, as the case maybe; or|
|b.||Submit proof or evidence of another investment, to make up for the loss or reduction in value.|
Likewise, the computation of the visitorial fee for every withdrawal/conversion of the dollar time deposit into the active investment (whether partial or in full) including the additional deposit for every additional dependent, shall be computed on a pro-rated basis.
The Officer-In-Charge of the Resident Retiree Servicing Center shall be responsible for the dissemination of this Circular.
TABLE OF VISITIORIAL FEES
APPLICABLE TO THE SPECIAL REDUCED DEPOSIT SCHEME
|REQUIRED DEPOSIT||VISITORIAL FEE|
|US$ 20,000.00||US$ 500.00|
|US$ 35,000.00||US$ 625.00|
|US$ 50,000.00||US$ 750.00|
|US$ 65,000.00||US$ 875.00|
|US$ 80,000.00||US$ 1,000.00|
|US$ 95,000.00||US$ 1,125.00|
|US$ 110,000.00||US$ 1,250.00|
|US$ 125,000.00||US$ 1,375.00|