I've spent the last week in Belize. While I've never been before, I've learned a great deal about this fascinating country and its people over the last few days.
I entered Belize by way of San Salvador, El Salvador. Connecting to my Taca Air flight to Belize City in San Salvador's Comalapa Airport was simplicity itself. I simply got off the flight from Panama City to San Salvador, walked a short distance to another gate, and boarded my flight to Belize City. I was shocked that there was no passport control, nor any customs declaration required, nor any TSA Nazis to intimidate travelers; not even a metal detector or full-body scanner. Since I was "in transit" and not formally entering the sovereign territory of El Salvador, I and my fellow travelers bypassed all of these formalities.
The contrast with changing planes in the United States couldn't be more striking. A C1 "transit visa" is required for those persons merely transiting the United States as they change planes. The only exception is for individuals possessing a "visa-waiver" passport from a small group of countries, primarily in the European Union.
In the aftermath of the 9/11/01 attacks, U.S. transit visas became much more difficult to obtain. Obtaining the visa requires a personal interview at a U.S. consulate and payment of a $160 fee. If there is no U.S. consulate in the applicant's residence country, he or she must travel to another country for the interview. The State Department frequently denies applications, forcing travelers to make more expensive and time-consuming connections, or connecting through a more "traveler-friendly" country like El Salvador.
Once I entered Belize, I proceeded through passport control and then customs. Passport control isn't computerized; my passport was stamped "visitor's permit to Belize" and the date handwritten. The customs official thoroughly searched my luggage and appeared skeptical when I told him I was visiting Belize to meet with clients to discuss their international tax planning needs. But when I handed him one of my business cards, he relented, and allowed me into the country.
Once in Belize territory, I proceeded to the check-in counter for Tropic Air for the short flight to San Pedro, on Ambergris Caye. This was my home for the next three days. While there, I met with several clients along with (for me) a surprisingly large network of U.S. citizens living there. While property on Ambergris Caye is hardly cheap, the laid-back lifestyle and perpetually warm weather attracts many Americans. San Pedro, the only town on Ambergris Caye, contains numerous U.S.-owned businesses–mainly real estate brokers, restaurants, and related services.
Obtaining Belize residence is relatively simple. There are two basic options:
1. A "qualified retired persons" (QRP) visa, requires that the applicant be 45 or older and have a proven monthly income of $2,000 or more. You need to reside in Belize only one month annually to maintain this visa status. QRP visa status also comes with numerous additional benefits, including the ability to import household goods and a vehicle free of import duties. However, this visa status is not eligible for eventual Belize citizenship and passport. In addition, QRPs may not work in Belize, although they can own and operate a local business.
2. Belize also permits you to simply renew your tourist visa every 30 days for one year, after which you can apply for permanent residence. You need not demonstrate proof of income, and you can apply for a work permit. After five years of continuous residence, you may apply for Belize citizenship and passport. The only shortcut to citizenship is to marry a local Belizean; this gives you the option of applying for citizenship after only one year of permanent residence. One may occasionally encounter "grey market" passports offered to provide a shortcut to this process, but I strongly recommend against them for the reasons given here.
Belize once had an "economic citizenship" program, but it ended about 10 years ago in response to political opposition. I heard a few reports from former government officials and well-connected locals that a new program might come into effect, but the political will to create it has yet to develop. Given Belize's strategic location and the relatively high quality of its passport–on an approximate par with the Commonwealth of Dominica–I have little doubt that should the government renew this program, it would be very popular.
After three days on Ambergris Caye, and a bad sunburn from a snorkeling trip, I met my colleague P.T. Freeman in Belize City. We rented a car and drove to Belmopan, the capital of Belize. Belmopan is much smaller than Belize City, but is far enough inland to be spared the most devastating effects of hurricanes which periodically dash the Belize coast.
While in Belmopan, I had several more meetings, including one with a client who had just expatriated. P.T. participated in that meeting, and assured my client that there really is life after expatriation, and that he would no doubt conclude that he had made the right decision permanently disconnecting from the U.S. tax system and more importantly, U.S. "big brother."
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Copyright (c) 2012 by Mark Nestmann
