Spain - Tax Haven for Digital Nomads?

Spain is one of the top spots for digital nomads. This beautiful country offers everything that you would want: great weather, beautiful beaches, vibrant cities, rich history... and unfortunately also high taxes!

Lots of our clients would love to live in Spain, and many prefer it over Portugal (which is one of our top destinations too), however, high taxes is what's putting them off from relocating to Spain.

But worry not! Spain has recently launched their Digital Nomad visa Program, and now you have the ability to live in Spain and pay low tax. Sounds exciting, doesn't it?

This program offers one year visa, that's extendable for up to 5 years.

In order to qualify you will need to make 2100 euros or more per month
You will need to have your own medical insurance
You can't be resident of Spain for the last 5 years
You need to be employed or self employed by foreign company
If you have any Spanish income it can not exceed 20% of your total income
You will need to have a clean criminal record, and provide the proof of it

Also, this program is only for non EU citizens

When it comes to taxes, if you relocate to Spain under this regime you will be treated as a non resident and your taxes will be 15%

Who are we and what do we do?

We are Offshore Citizen team. We help people become global: get a second passport, set up a second residency, pay less taxes, do banking abroad, etc.

We have lots of interesting articles on different topics, we have relevant information up to date.

Author: Michael Rosmer

Feel free to join our community!

Don’t forget to subscribe to our channel

[OffshoreCitizen]

2:43 we have a typo on the screen regarding minimum amount of earnings.
Minimum amount is $2300 USD

[dariosfinancetips]

I'm from Spain and living in the U.S cant wait to go back!

[lachainedelaverite]

There is a wealth tax in spain that makes spain a tax hell. On top of that, if you spend more than 183 days in spain, you become tax resident. Spain is by far the worst tax country for digital nomad, that's why there is no digital nomad in spain.

[Alkapone]

As I know the 15% is for startups, for employees or self employed it’s 24% and it’s not clear what to do with social security contributions for now.

[victorfebo]

Thank you for sharing! I am a couple of years closer to retirement and I am currently evaluating Spain as a destination where to retire. But, looking through the internet so that the income taxes are quite high for a retiree; I am from Puerto Rico. So, these are very good news. Thank you again for sharing!

[Ethri.properties]

Best Channel for company set up and residency ever

[moneyvest.]

Hi! does this digital nomad visa eventually lead to permanent residency? Is that an option? After renewing the visa for 5 years. Thank you!

[SenorJuan]

Sweet! Now I have to decide between Spain and Buenos Aires in a couple of years.

[jonnyreh]

15% tax sounds cool, but what about social insurance? How much is that for nomads in spain? In Portugal you dont pay SI for the first year of business at least. and NHR tax is 20%. Then 50% discount on tax for the first year ... awesome. Also crypto taxation is possibly an important aspect for a nomad. In portugal the crypto taxes are now still veeeery attractive in 2023.

Now I am searching for alternative for this as my year of social contributions exemption will be gone :D

[davidcua]

Usually I love your videos, pretty much 90% of them and you are great advice, but this time the video title is quite deceptive.
My point : Spain has NOTHING of a Tax Haven. Guys don't be fooled by them.
I am French (half of Spanish origin) therefore UE citizen therefore it's not applicable to my case, but even if I was from a non EU country, it would not be interesting. Mainland spain is tax wise utterly horrendous as is my home country. 
If you want to live in spain for the weather, the people, the nightlife, and slightly the cost of living / renting. Why not!  

However, I wouldn't recommend Spain for tax optimization.

[SenorJuan]

So if you're self employed as a true digital nomad (e.g. free lancer), this visa still works? The wording was a bit confusing.

[NormDogWoof]

Isn't the 15% for companies? And it's a flat 24% for individuals?

[edmundcomet]

Great content as always, Michael. But I noticed that you have not responded to any of the commenters asking you to clarify the 15% vs 24% tax question. This seems a rather important detail. Would you elaborate here for the benefit of all of us who are interested?

[haseebmajid]

I thought the tax in Portugal for foreign income is 0%? Does that make it better than Spain's 15% income tax for non residents? I believe it does doesn't it?

[damianomamone]

Good morning, I have a question regarding the 24% tax rate.

If I work as a freelancer for a non-EU company, have tax residence there, a bank account and my center of interest, on what amount do I have to pay 24%?

If I pay 12% in my country of origin, is it worth doing the DNV at this point?

[trillrudeboy]

Where did you get this 15% tax from? Spain has a progressive tax. Where is the program that lets you pay only 15%?

[adventurefreaksss]

Great information. Where are you located?

[SeanZAcz]

Love your content, my wife and I soak up all the episodes. We are based in South Africa and produce online royalty videos that sell in the US. Could you possibly do an episode (or recommend an older one) that covers small businesses that employ people on a non permanent basis but where the income comes from an offshore entity, though locally produced. It seems it doesn't fall under the same category as a 'digital nomad' and I'm just trying the get my head around the legal ramifications. Thank you. Also a small tip for your vids if you want a more cinematic look, you need to make the f-stop of your lense close to F2. The bokeh that comes from that will add another dimension to the shot. The lighting is already great especially with that natural beam falling down the staircase.

[emmanuel]

Finding this a year later but curious, what is the US business personal liability for having an employee work remote in spain? Does that change if they become a citizen of spain? I am just thinking about the US and how much things get complicated between states, whether someone is contract or salary, etc..

[SyoCoF]

Currently, the amounts is €2, 334 per month or €28, 000 per year, but it is likely to rise slightly as the country is reevaluating its minimum wage.