Legislation has now been passed by Australia’s Immigration Minister which effectively stops new visa applications being submitted under subclasses 103 (Parent) and 804 (Aged Parent) from the close of business today (the 30th of May, 2014).

The legislation which gives effect to the change is here.

Alternative visa strategies for those who have been planning to lodge a subclass 103 or 804 visa application are discussed on our earlier blog.

A question we are often asked relates to the period of stay in Australia that is allowed to applicants for an offshore subclass 103 Parent visa.

Parents would usually apply for a tourist visa, typically an eVisitor where the parent is the holder of an eligible passport, such as a UK passport.

Department of Immigration policy guidance advises:

Officers are encouraged to consider granting offshore applicants who are in the parent queue an FA-600 (Tourist stream) visa with five year validity, 12 month stay and multiple entry so they can come and visit their family for longer periods on regular occasions.

Also:

For parents who are onshore, de facto residence is considered to be more than 12 months in an 18 month period. It is expected that parents will spend no more than this amount of time in Australia but if this occurs they should depart and wait for six months offshore before seeking to re-enter Australia. Note: Each case will be considered on its merits and each person’s individual circumstances must be taken into account when a decision is made.

With the imminent closure of the Parent and Aged Parent visa pathways to new applicants, many parents and their children in Australia are asking about alternative visa options.

In this blog we highlight the Contributory Parent visas, including the two step strategy which is a helpful means of managing the cash flow associated with the high cost Contributory Parent visas.

Following the closure of the Parent and Aged Parent visas parents with children living in Australia can look at the following pathways to permanent residency:

Onshore Visas
The onshore visas for parents require you to be physically within Australia when the application is lodged with the Department of Immigration.

The main visa applicant must also be “aged”, which means:

– Where a man is the main applicant, he must be older than 65 years of age

– Where a woman is the main applicant, if she is:

born before 30 June 1947, she can apply at the age of 64;
born between 1 July 1947 and 31 December 1948, she can apply when 64.5 years of age;
born after 1 January 1949, she can apply when she is aged 65 or older

The onshore visa options for parents following the withdrawal of the subclass 804 Aged Parent visa are:

> Subclass 864, Contributory Aged Parent (Residence)

> Subclass 884, Contributory Aged Parent (Temporary), leading to a subclass 864, Contributory Aged Parent (Residence), within 2 years of the granting of the 884 visa

The main advantage of the 884 to 864 visa is the splitting of the main Visa Application Charge into two stages.

The disadvantage of the two step strategy is the higher overall Visa Application Charges payable to the Department of Immigration. Based on the present scale of VACs for a 2 person visa application:

> 864 visa outright: 1st VACs total A$5,280; 2nd VACs A$43,600 x 2, or A$87,200 – giving a total of A$92,480

> 884 visa first: 1st VACs total A$5,280; 2nd VACs A$29,130 x 2, or A$58,260 – giving a total of A$63,540
> 864 for an 884 visa holder: 1st VACs total A$490; 2nd VACs A$19,420 x 2, or A$38,840 – giving a total of A$39,330
> Overall total for the 2-step strategy of A$102,870

Note also that the VACs payable at the 864 stage for 884 visa holders will be based on the VACs chargeable when the second visa application is lodged, which will almost certainly be higher than they are when the 884 application is lodged.

However, the smoothing of cash flow is valuable, so the 2-step strategy will be the pathway of choice for many.

The Assurance of Support process – when a Bond is required to be lodged with the Commonwealth Bank of Australia – is required in the closing stages of the permanent residency visa application.

Offshore Visas
Applicants can be onshore or offshore when an application for this visa is lodged with the Department of Immigration, and there is no age requirement.

> Subclass 143, Contributory Parent (Migrant)

> Subclass 173, Contributory Parent (Temporary), leading to a subclass 143, Contributory Parent (Migrant), within 2 years of the granting of the 173 visa

The same considerations as noted above apply for the 2-step strategy insofar as the cost of the application and the smoothing of cash flow are concerned.

Visa Processing Times
We are presently seeing the onshore Contributory Aged Parent visas being processed to a decision quickly – in some 6 months – while the offshore Contributory Parent visas are taking some 20 to 22 months to reach a decision.

A relatively quick processing time can be a factor for those who have to realise an asset to generate the funds to pay the VACs, and should be factored into a decision as to visa strategy.

If you are a parent with children living in Australia and would like to discuss your visa strategy please feel able to contact your closest GM Parents office or complete the enquiry form on this page.

We will be pleased to have an initial discussion with you, after which we can send a no obligation fixed fee proposal to you.

The Department of Immigration has confirmed today the imminent withdrawal of Parent (subclass 103) and Aged Parent (subclass 804) visas to new applicants – as well as certain other family visa subclasses, including:

> Aged Dependent Relative visa (subclasses 114 and 838)
> Remaining Relative visa (subclasses 115 and 835)
> Carer visa (subclasses 116 and 836).

The visas will be closed to new applications before the start of the 2014/15 Migration Program year, commencing on the 1st of July, 2014.

The date of cessation is to be announced shortly.

If you are intending to apply for a subclass 103 or 804 visa we recommend that you lodge an application now. GM Parents can progress such an application quickly – our fees are fixed in amount, and are payable in stages.

Contact your closest GM Parents office or complete the enquiry form on this page if you would like to discuss your parent visa options with an experienced migration advisor.

Don’t delay – it will not be possible to apply for a visa under these subclasses for much longer.

Today is Federal Budget Day in Australia.

The Budget papers which have been released include the following commentary (emboldening added):

“The 2014‑15 Migration Programme will have 190,000 places and maintain the composition of 128,550 Skilled Stream places, 60,885 Family Stream places and 565 Special Eligibility Stream places.

The Family Stream will refocus on meeting the increasing demand for close family reunions. The additional partner and child places will be made available as a result of the cessation of new applications from the other family and parent (non‑contributory) places. This cessation will also enable faster processing of existing applications.”

(Source: http://www.budget.gov.au/2014-15/content/bp2/html/bp2_expense-16.htm , scroll down to Migration Programme — allocation of places for 2014‑15)

This indicates that it will not be possible to apply for subclass 103 (Parent) and 804 (Aged Parent) visa options imminently – we anticipate this will be from the end of next month (June 2014).

If you are intending to apply for a subclass 103 or 804 visa we strongly recommend that you lodge an application now. GM Parents can progress such an application quickly – remember that you can lodge a basic application with supporting documentation to follow once a file reference has been issued by the Department of Immigration.

Our fees are fixed in amount, and are payable in stages.

Contact your closest GM Parents office or complete the enquiry form on this page if you would like to discuss your parent visa options with an experienced migration advisor.