Legal Question in Immigration Law in New York

Re: E-2 visa:starting a business on the side - what tasks am I allowed to do?

You pretty much have the answer to your own question: a passive shareholder does not engage in any operational tasks of a business he or she owns. As a shareholder, you are permitted to contribute capital, attend and vote at shareholders' meetings, elect directors, etc. That's about it: the normal activities of a passive shareholder are very limited. The source of your compensation is not relevant if you cross the line and act as a corporate officer. No one may look actoss your shoulder today but next time you are in front of a USCIS officer/border inspector, you may be asked to account for your actions and document how your business was actually ran.

If you do not pay salary to your company's CEO or other officers, there is nothing to do other than to have the appointment properly documented in the corporate records. Otherwise, you have to make certain tax filings to establish and maintain a payroll. There are companies to which you can outsource this task or you can use an accountant.

If you want to confirm that your proposed business plan does not jeopardize your E-2 visa status, contact a business immigration attorney.

The above reply is in the nature of general information, is not legal advice and should not be relied on as such.