4 criteria for obtaining a residence permit in Russia for foreign investors

As we previously mentioned in our article about changes in Russian migration legislation, starting from January 11, 2023, one of the grounds for issuing a residence permit without obtaining a temporary residence permit (RVP) to a foreign citizen and his/her family members is his/her investment in Russia according to certain criteria established by the Government of Russia.

It should be noted that in this case, family members include his/her spouse, children (including adopted), spouses of children, parents (including adoptive), spouses of parents, grandparents, and grandchildren.[1]

At the moment, the Government of the Russian Federation has established the following 4 investment criteria for foreign citizens to obtain a residence permit[2] based on the aforementioned basis:

Criterion 1: The foreign citizen has made investments in socially significant projects of the Russian Federation entities in the amount of at least 15 million rubles[3] during the three years preceding the submission of the application for the issuance of a residence permit in Russia. The document that can confirm the compliance of the foreign citizen with the first criterion was confirmed by the Ministry of Economic Development of Russia in its Information Letter No. 282-DV/D06vn of March 22, 2023:

A letter from a senior official of the Russian Federation subject containing information about the foreign citizen’s investment in the specified amounts[4].

Criterion 2: The foreign citizen has registered a legal entity, and it has been engaged in entrepreneurial activities for 2 years[5]:

immediately preceding the calendar year in which the citizen applied for a residence permit, as well as
in the calendar year in which such citizen applied for a residence permit.

The legal entity must be registered only in the following forms on the territory of the Russian Federation:

a commercial partnership;
a limited liability company (LLC);
a joint-stock company with a single shareholder (JSC);
a peasant (farmer) household;
a commercial partnership.

At the time of the decision by the Ministry of Internal Affairs to issue a residence permit to a foreign citizen, in an LLC and a joint-stock company (JSC), the only participant can be the foreign citizen himself.

Characteristics of business activity conducted by a legal entity:

a) payment of taxes and fees in accordance with the Tax Code of the Russian Federation, except for state duties and taking into account the amounts of overpaid/over-collected taxes and fees, both in the calendar year in which the foreign citizen filed the relevant application and in the calendar year directly preceding it, made before the date of the foreign citizen’s application for payment of taxes and fees, the obligation to pay which arose for the legal entity in the corresponding calendar year.
b) payment of insurance premiums to state non-budgetary funds in the amount of at least 4 million rubles annually.

Documents that can confirm the compliance of a foreign citizen with the second criterion:

extract from the Unified State Register of Legal Entities (EGRUL);
information on the amounts of taxes and fees paid to the budgetary system of the Russian Federation and insurance premiums to state non-budgetary funds (within the established exceptions)[6].

Criterion 3: A foreign citizen has invested at least 30 million rubles in a Russian legal entity that has been conducting entrepreneurial activity on the territory of the Russian Federation for at least 3 years in the form of:

a partnership;
a limited liability company (LLC);
a joint-stock company (JSC);
a peasant (farm) household;
a farming partnership.[7].

In this case, the amount of taxes and fees, as well as insurance contributions to state extrabudgetary funds, paid by such a legal entity, must be at least 6 million rubles in the calendar year immediately preceding the calendar year in which the foreign citizen applied for a residence permit in the Russian Federation.

Exceptions include: state fees and taking into account refunds of excess paid/collected taxes and fees, both in the corresponding calendar year and in the calendar year in which the foreign citizen applied for a residence permit, made prior to the date of receipt of the foreign citizen’s application with respect to taxes and fees, the obligation to pay which arose for the legal entity in the corresponding calendar year.

Documents that can confirm the compliance of a foreign citizen with criterion 3:

an extract from the Unified State Register of Legal Entities (EGRL);
official documents of a Russian legal entity confirming capital investments and investments made;
information on the amounts of taxes and fees paid to the budgetary system of the Russian Federation and insurance contributions to the budgets of state extrabudgetary funds or information (within established exceptions)[8].

Criterion 4: A foreign citizen has acquired real estate objects of any purpose on the territory of the Russian Federation on the basis of ownership (shared ownership) at the construction stage or within 2 years after their commissioning and has continuously owned them for 1 year before the date of application for a residence permit in the Russian Federation[9].

The aggregate cadastral value of the objects owned by a foreign citizen should be:

not less than 50 million rubles in the territory of Moscow,
not less than 20 million rubles in the territories of the subjects of the Far Eastern Federal District,
not less than 25 million rubles in the territories of other subjects of the Russian Federation.

At the same time, there should be no restrictions or encumbrances on all these real estate objects during the specified period of ownership.

The document that can confirm the compliance of a foreign citizen with the 4th criterion is:

an extract from the Unified State Register of Real Estate, including information on registered rights, the presence of restrictions or encumbrances on the real estate objec[10].

[1] Subparagraph 17) paragraph 2 of Article 8 of the Law “On the Legal Status of Foreign Citizens in the Russian Federation” No. 115-FZ of July 25, 2002;

[2] Decree of the Government of the Russian Federation No. 2573 of December 31, 2022 “On Approval of Criteria to Which a Foreign Citizen Who Has Invested in the Russian Federation Must Comply in Order to Obtain a Residence Permit in the Russian Federation Without Obtaining a Temporary Residence Permit”;

[3] Subparagraph (a) of the Criteria approved by the Decree of the Government of the Russian Federation No. 2573 of December 31, 2022;

[4] Subparagraph 1 of the Information Letter of the Ministry of Economic Development of Russia No. 282-DV / D06vn dated March 22, 2023;

[5] Subparagraph (b) of the Criteria approved by the Decree of the Government of the Russian Federation No. 2573 of December 31, 2022.

[6] Item 2 of the Information Letter of the Ministry of Economic Development of Russia dated 22.03.2023 No. 282-DV/D06vn

[7] Subsection (b) of the Criteria approved by the Decree of the Government of the Russian Federation dated 31.12.2022 No. 2573

[8] Item 3 of the Information Letter of the Ministry of Economic Development of Russia dated 22.03.2023 No. 282-DV/D06vn.

[9] Subsection (g) of the Criteria approved by the Decree of the Government of the Russian Federation dated 31.12.2022 No. 2573

[10] Item 4 of the Information Letter of the Ministry of Economic Development of Russia dated 22.03.2023 No. 282-DV/D06vn.