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I am not sure if this was asked already.

I am researching for passport validity for Schengen for non-EU long term residents but I cant find any answer.

My passport will expire on May 2019 and I am currently on holiday outside of EU and returning to Luxembourg on Jan 2019. I understand that passport should have a validity at least 3 months from the departure date. I have a long term resident status and my residence permit is still valid for at least 3 years.

Will I have an issue to enter the Schengen area?

Thanks a lot for your help.

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No, the 3-month rule only applies to visitors to the Schengen area. Since you have a residence permit, your passport and residence permit only need to be valid on the day you re-enter the EU.

This is the information all check-in agents will see as well. Specifically.

  • Passports and other documents accepted for entry must be valid for a minimum of 3 months beyond the period of intended stay.

    • Passports and other documents accepted for entry issued to residents of Andorra, Monaco, San Marino, Vatican City (Holy See) and Schengen Member States must be valid on arrival.
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  • I was just going to post an answer nearly identical to this, but then thought to check the Schengen Borders Code first. The code makes no exception for those with a long-stay visa or residence permit. This is of course absurd, since the intended date of departure for such a person is frequently not definite. The only way I can make sense of that is to consider that someone with such a permit need not have an intended date of departure, but it seems like there ought to be an explicit provision for such people.
    – phoog
    Commented Dec 28, 2018 at 15:36
  • If you could include an example of the "the information all check-in agents will see" in this regard, it would improve the answer.
    – phoog
    Commented Dec 28, 2018 at 15:36
  • @phoog Practice isn't always consistent with law, but fine, I'll copy-paste the TIMATIC extract
    – Crazydre
    Commented Dec 28, 2018 at 15:42
  • Thanks. Law is indeed not always consistent with law, in that the requirements imposed by the legal system may take into account elements of interpretation that are not obvious from the text of the act or even conflicting provisions that are expressed in an entirely separate act.
    – phoog
    Commented Dec 28, 2018 at 15:53
  • @phoog: Where do you find that? I see the three-months requirement in 6(1)(a)(i), but the entire 6(1) is (by its initial sentence) only about short visits. Holders of residence permits are explicitly allowed to miss some of the conditions in 6(1), by the exception in 6(5)(a). Commented Dec 28, 2018 at 15:53

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