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DELTA · E-2 FIELD GUIDE

Which costs reduce the proceeds before a single dollar is invested?

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THE DIRECT ANSWER

Tax on the sale, currency conversion spreads, wire charges, and any lender or agent fees come off first, and professional fees for legal, accounting and business-plan work come off next. Government charges for the chosen route are separate again and should be confirmed at the official source when the step arrives. Budget these before setting the investment figure, not after.

Get tax advice on the sale itself

A sale arranged for immigration reasons is still a taxable event, potentially in more than one country, and the liability may fall due long after the money has been spent on the business. Ask a qualified tax adviser what is owed, when, and to whom, then hold that amount aside. Also ask which preparation costs are refundable if the review finds an eligibility problem, so the spending sequence can be ordered from cheapest question to largest commitment.

Add one further sequencing rule to that ordering: get the eligibility question answered before the liquidation, not after. Where an asset is being sold in order to fund the enterprise, the sale is frequently irreversible and its tax consequences are fixed by the date it completes, so an eligibility problem discovered afterwards leaves the applicant holding a tax liability and no route. A preliminary review of the personal position costs a fraction of what the sale costs and can be obtained in weeks.

Hypothetical example: an applicant intending to fund a truck repair business from a property sale commissions a short review of their immigration history first, and although it finds nothing, the sequence is the point: the cheap question was asked before the expensive and irreversible one.