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Moving to Spain? Spanish visa overview

My Spain Residency, May, 2. 2024

 

Raymundo Larrain gives us a sweeping overview of the Spanish visa system. If you are a non-EU national, and plan to move to Spain, this article is for you.

 

Marbella-based Larraín Nesbitt Abogados (LNA) has over 21 years’ of experience at your service. We offer a wide range of 50 legal and corporate services. Our team of native English-speaking lawyers and economists have a long track record successfully assisting expats all over Spain.

 

You can review here our client’s testimonials.

 

Article copyrighted © 2024. Plagiarism will be criminally prosecuted

 

By Raymundo Larraín Nesbitt
Director of Larraín Nesbitt Abogados
8th of May 2024

 

Spain is the second most visited country in the world, with over 84 million tourists every year. It’s a beautiful country to visit or live in. Gorgeous weather, great food, affordable prices, great amenities, and ultra-low taxation (in some regions of Spain) appeal to foreigners at large. Many of these tourists decide to settle down and buy a property in Spain.

 

In recent years, Spain has introduced two new immigration schemes with significant tax advantages associated for those that qualify: Beckham’s Law (named after the English football player) and also the Digital Nomad Visa.

 

Both of these allow applicants to pay NO tax on any assets or income held abroad. Moreover, on the income derived strictly in Spain, applicants pay only a flat fee, which is a mere fraction of the standard tax rates. These two immigration schemes have been purposely devised to attract foreign overachievers, so they relocate to Spain alone, or with their families. Due to their unique tax advantages, they are proving wildly popular amongst foreign applicants, both EU and non-EU respectively.

 

At LNA, we can help you attain a visa or residency permit to live in Spain legally in record time at an affordable price. Your case will be handled by one of our immigration lawyers assisted by one of our in-house visa managers.

 

General requirements for Spanish visas

 

The following five are staple requirements across all visa types:

 

  1. Non-EU national
  2. Hire private health insurance
  3. Clean criminal record, no trace (previous 5 years)
  4. Be self-supporting (you will not claim benefits from the State)
  5. Not be living in Spain illegally at the time of making the visa application
  6.  

Spanish visa overview

 

Spain offers five visas for non-EU nationals. At LNA, we can assist you in filing all five below.

Some visas will suit applicants better than others. Some offer unique tax advantages.

 

1.   Golden Visa – Investor Visa

 

Spain’s Government announced on the 8th of April 2024 they will be scrapping this visa. However, it will take them many months to implement this change (likely by Autumn). For those who are still interested, you should apply now whilst you still can.

 

The investor visa is thought for affluent non-EU applicants. It is popularly known as a ‘Golden Visa’. It’s a blue-ribbon visa that basically rolls out the red rug for its privileged holders that neatly cuts through all the red tape. Its purpose is to foster foreign investments in Spain. Whilst there are many different ways to attain a GV, the most popular (and least expensive) is by investing in Spanish real estate. This requires investing €500,000 in property.

 

We should point out that it applies retrospectively; meaning that any non-EU national that bought a property in Spain for over 500k on or after the 28th of September 2013 may qualify. The investment in property can be made either as a physical person or as company. Alternatively, you can also deposit €1mn in a Spanish bank (no need to invest it), or you can invest €2mn in Spanish listed shares. All three ways will allow you to qualify for a coveted golden visa.

 

Unlike the other four visas listed below, renewals are not tied to proving you live in Spain all year round. They are based on keeping the investment. This ability to override the 90/180-day rule and not being ‘forced’ to live in Spain, make it one-of-a-kind visa and goes on to explain why it is highly sought-after by affluent individuals.

 

Another point to consider, is that the Golden Visa is the ONLY visa in Spain which does not make you tax resident in Spain on applying for it. GVs allow you the right to work in Spain (optional). This visa is attained by us in under 3 weeks.

 

Suitable for:

 

  • Affluent applicants who invest €500,000 in Spanish real estate.
  • Affluent applicants who deposit €1mn in a Spanish bank.
  • Affluent applicants who invest €2mn in Spanish Teasury bonds, or €1,000,000 in shares of publicly trading Spanish companies.

 

Further reading:  Spanish Golden Visa Explained

 

2.   Digital Nomad Visa (tax-free visa)

 

Spain’s Digital Nomad Visa (DNV) was approved in December 2022. The DNV is extensive to family members i.e. spouse and children under the age of 18 years old.

 

It allows applicants to work remotely from Spain i.e. teleworkers. The main advantage of a DNV is its privileged taxation. It grants its applicants a special tax regime whereby they pay very few taxes as opposed to the standard tax rates that apply to Spanish tax residents.

 

The main two tax advantages open to successful DNV applicants are:

 

  • No tax on assets & income held abroad. This is of special interest for applicants holding substantial wealth and interests abroad Spain (i.e. HNWIs), which would go untaxed by Spain.
  • A flat tax rate of 24% on any income derived strictly in Spain.

 

Please contact us if you wish to pursue a DNV. This visa is attained by us in under 3 weeks.

 

Suitable for: 

 

•    Teleworkers 
•    Digital nomads
•    Self-employed (freelancers) who manage their business remotely

 

Further reading: Tax Advantages of Spain’s Digital Nomad Visa

 

3.   Marriage Visa – EU Family Regroupment

 

It’s intended for families or couples that have been separated, in and out of the EU. It seeks to reunite them in an expedited manner within the EU. So, although this type of visa is popularly dubbed as ‘Marriage Visa,’ it would rather be more appropriate to label it as ‘Family Visa’. Unfortunately, the term 'Marriage Visa' has caught on and sounds more catchy, so we will just stick to it for simplicity's sake.

 

Its scope goes well beyond a married couple. It ought to be understood in broader terms, as in family reunion. As its own name implies, couples must be married (including same-sex partners), this is the core requirement. Alternatively, it can also be a civil partnership. This visa allows you the right to work in Spain. This visa is fast-tracked, we can get it in one month.

 

Suitable for:

 

  • Separated family members that wish to reunite within the EU
  • Married couples

 

Further reading:  EU-Family Regrouping (Marriage Visa)

 

4.   Business Visa – Lucrative Visa

 

As its own name implies, this permit allows the applicant to work in Spain as you will be self-employed. This residency applies to someone who is looking to set up his own business in Spain. Typically, you will be acting as a director or managing director overseeing the company. Needless to say, one of the key requirements is that you will have enough means to be self-supporting, both for yourself and your family for one year.

 

The catch, besides a cast-iron motivation, is that you need to invest in the ballpark of €80,000 to €100,000 to open & run a business in Spain. You will also be required to hire employees (the cornerstone of this visa). This visa allows you the right to work in Spain as self-employed.

 

Suitable for:

 

  • Applicants (families) wishing to set up and run a business in Spain
  • Self-employed
  • Dauntless entrepreneurs

 

Further reading:  Lucrative residency permit (Business Visa)

 

5.   Non-Lucrative Visa – Pensioner’s Visa

 

As its own name implies, this visa allows applicants to live, but not to work, in Spain. If you are working, or plan to work in Spain, you will be stripped of this visa. Only pensioners should apply for it.

 

The applicant will be expected to be self-supporting and will be required to prove he or she has enough savings for at least two years. This visa is ideal for retirees who wish to spend extended periods of time in Spain – without working – enjoying the finer things in life.

 

This visa is available from us from only £300.

 

Suitable for:

 

  • Pensioners
  • Would-be buyers, long-term tenants
  • Bon vivants

 

Further reading: Non-Lucrative Visa

 

 

Our law firm has a track record of 100% attaining Spanish visa & residency permits since 2013. We have assisted hundreds of individuals and their families.

 

 

At Larrain Nesbitt Abogados (LNA) we have over 21 years’ experience specializing  in immigration & residency visas. We also assist clients buying, selling, or renting properties in Spain. You can contact us by e-mail at info@larrainnesbitt.com, by telephone at our UK line (+44) 0754 3838 218 or Spanish line (+34) 952 19 22 88, or by completing our contact form.

 

Please note the information provided in this article is of general interest only and is not to be construed or intended as substitute for professional legal advice. This article may be posted freely in websites or other social media so long as the author is duly credited. Plagiarizing, whether in whole or in part, this article without crediting the author may result in criminal prosecution. Ní neart go cur le chéile. VOV.

 

Larraín Nesbitt Abogados, small on fees, BIG on service.
2024 © Raymundo Larraín Nesbitt. All Rights Reserved.

Spanish visa applications: criminal records

My Spain Residency, March, 5. 2024

 

A staple requirement across all visa applications in Spain is that applicants must supply a criminal record over the previous 5 years.

 

This record should be clean, showing no records of any kind.

 

However, at times some applicants made a juvenile mistake which led them to commit a misdemeanour i.e. drunk driving offence. Unbeknownst to them, 30 years on this still shows on their record. If the conviction is spent, you can request to have it removed so your criminal record appears as clean. If unspent, you simply cannot.

 

As stated, for the purposes of a Spanish visa application, your criminal record must always appear as clean. If there is any conviction showing, whether spent or unspent, your visa application is going to be turned down by Spanish Immigration Authorities.

 

My Spain Residency has a 100% track record attaining Spanish residency

 

At Larrain Nesbitt Abogados, we have assisted hundreds of non-EU nationals, and their families, to successfully attain a Spanish residency permit since 2013.

 

Immigration & visa services available from Larraín Nesbitt Abogados:

 

 

 

At Larrain Nesbitt Abogados (LNA) we have over 21 years’ experience assisting clients buying, selling, or renting properties. We can also offer you a competitively priced accounting service to file your landlord taxes every tax quarter nationwide. We are also specialized in immigration & residency visas. You can contact us by e-mail at info@larrainnesbitt.com, by telephone on our UK line (+44) 07543 838 218, Spanish line (+34) 952 19 22 88, or by completing our contact form to book an appointment.

 

Larraín Nesbitt Abogados, small on fees, BIG on service.
2024 © Raymundo Larraín Nesbitt. All Rights Reserved.

Spain’s Digital Nomad Visa

My Spain Residency, January, 11. 2024

 

By Raymundo Larraín Nesbitt
Director of Larraín Nesbitt Abogados
8th of January 2024

 

Introduction

 

Spain’s new Digital Nomad Visa (DNV) has taken the visa market by storm! Fancy working remotely from a beach in Spain, sipping a mojito with 21 degrees in good company paying almost no tax (*)? The DNV has you covered!

 

The DNV offers unique tax advantages that no other Spanish visa can hope to match, not even a coveted Golden Visa. Its main outlier, and what distinguishes it from other available visas, is precisely the wide array of tax benefits it offers. The DNV has been purposely devised so successful applicants pay few taxes in Spain; the purpose is to incentivize overachievers to relocate and work (remotely) in Spain.

 

The DNV is modelled after Beckham’s Law, enacted in 2015, and which applies to EU nationals which in turn was inspired by the UK’s wildly popular Non-Domiciled taxpayer scheme. The DNV applies to non-EU nationals and offers basically the same tax advantages as Beckham’s Law.

 

It’s a legal fiction whereby a non-EU taxpayer is treated as a non-fiscal resident in Spain, but for administrative purposes, they are regarded as fully resident in Spain. The tax significance of this nuance simply cannot be understated enough and opens the door to a slew of tax benefits I collate below.

 

(*) Precisely because of its huge tax advantages, the law time-gates them to a maximum of five years plus one.

 

Needless to say, a DNV makes you tax resident in Spain (that’s precisely the whole point!).

 

Because of its nature (to attract talented individuals), and similar to Golden Visas, all DNV applications are fast-tracked. In under 3 weeks you know if your application has been successful.

 

In a nutshell, the DNV is all about paying (very) low income tax, or none at all (as assets & interests held abroad Spain go untaxed!)

 

DNV tax benefits

 

  • All income & assets held abroad go untaxed. In other words, any source of worldwide income is tax-exempt (just like with the popular UKs non-dom tax scheme). The only exception is any income derived abroad from working.
  • DNV holders only pay tax strictly on the income they derive working remotely in Spain for a foreign employer. They will pay a flat tax rate of 24% on the first €600,000 of gross annual earnings over a five-year period.
  • They are not required to file a 720 tax return (unlike Spanish tax residents)
  • They are not required to file Wealth Tax (unlike Spanish tax residents)
  • You can request to defer the payment of tax on the first and second year without penalties or delay interests being rolled on top (as is standard)
  • For the purposes of other tax agencies, you are considered tax resident in Spain.

General staple requirements

 

  • Non-EU national.
  • Hire private health insurance from an approved health provider in Spain (you need to be under 75 years old), or
  • Enrol in the Social Security
  • Clean criminal record (previous 5 years).
  • Be self-supporting (you will not claim benefits from the state): you need to show a minimum bank balance of €30,000 for the main applicant (recommended amount is €34,000). A further €7,200 for every dependent (recommended amount is €8,400).
  • Not be already in Spain illegally at the time of making a visa application.

DNV specific requirements

 

  • If employed, you need to prove you are hired by a foreign company. You need to have been working for this employer for at least 3 months prior to making a DNV application. A work contract is the core requirement (12 months, or more). A copy of your job contract will be required. Alternatively, if self-employed (freelancer), a letter from the company stating you are self-employed, and company records proving it has been operational for over 12 months.
  • You need to supply a copy of holding formal academic qualifications i.e. a university degree, business school, or professional qualification, or,
  • alternatively, you need to prove you have at least 3 years of work experience in the job position you are being hired for.
  • Not to have resided in Spain during the previous 5 years of making an application.
  • Not to obtain income from a permanent establishment in Spain.

 

 

LNA has a 100% track record attaining Spanish residency

 

At Larrain Nesbitt Abogados, we have assisted hundreds of non-EU nationals, and their families, to successfully attain a Spanish residency permit since 2013.

 

Interested? Come and speak to Larraín Nesbitt Abogados’ friendly staff who will be pleased to guide you through the different residency options, choosing the one that appeals to you most.

 

Your family’s success is only one call away: (+44) 07543 838 218, or (+34) 952 19 22 88.

 

Larraín Nesbitt Abogados, small on fees, BIG on service.

Beckham’s Law Explained (Spain’s Non-Domiciled Tax Scheme)

My Spain Residency, November, 8. 2023

 

Marbella-based Larraín Nesbitt Abogados (LNA) has over 20 years’ taxation & conveyancing experience at your service. We offer a wide range of 50 legal and corporate services. Our team of native English-speaking lawyers and economists have a long track record successfully assisting expats all over Spain.

 

You can review here our client’s testimonials.

 

Article copyrighted © 2023. Plagiarism will be criminally prosecuted.

 

 

By Raymundo Larraín Nesbitt
Director of Larraín Nesbitt Lawyers
1st November 2023

 

In 2015, Spain introduced a special tax regime for wealthy EU expatriates who relocate to Spain. Following in the footsteps of other countries’ successful non-domiciled tax schemes, namely the United Kingdom, the self-declared goal of this programme is to attract high achievers to relocate to Spain on the back of a job offer. The typical taxpayer profile that qualifies would be a high-profile artist, techy, high-ranking corporate employee, etc. Over 10,000 foreigners settled in Spain have benefitted from this special tax arrangement.

 

In a nutshell, this tax scheme allows EU nationals to make spectacular tax savings on paying Income Tax in Spain (IRPF). If you opt into this scheme, you stand to benefit from substantial tax breaks on both income derived in Spain as well as worldwide income.

 

On opting into this special tax regime, a legal fiction takes place whereby EU expats are treated (for admin purposes) as if they are a resident taxpayer in Spain. Albeit in practice, for tax purposes, the taxpayer is regarded as a non-resident. Meaning you in fact get the best of both worlds; you get all the perks from being legally resident in Spain, yet you pay a substantially lower tax bill as you are deemed in practice as a non-resident taxpayer.

 

 

Who can apply?

 

 

  • Any European Union national relocating to Spain as a result of a professional contract. You need to be hired by a Spanish company or else by a foreign company with a permanent establishment in Spain. The contract is the core requirement to opt into this tax scheme. Non-EUs may also apply but may require a visa to live and work in Spain. Non-EUs are advised to benefit instead from a Digital Nomad Visa, which offers almost identical tax benefits and is also a visa permit.
  • Not to have resided in Spain on the previous 10 years.
  • No earnings derived from a permanent establishment in Spain.

 

 

The tax benefits

 

 

  • Spanish income. The first €600,000 earned from a source within Spanish territory will be taxed at a flat rate of 24% (in lieu of the standard top marginal rate of 47%). As can be surmised, even for earnings whose source is derived exclusively in Spanish territory, the tax savings are huge.
  • Worldwide income. However, it is here where this tax scheme truly shines and comes into its own. Spanish Tax Authorities only tax you on your income derived within Spanish territory. Meaning, any other source of worldwide income is tax-exempt (just like with the popular UKs non-dom tax scheme). Needless to say, this unique tax advantage offers a hugely attractive prospect for those taxpayers with substantial earnings, assets, and interests overseas. The only exception is any income derived abroad from working.  
  • Exempt from submitting tax return 720
  • Exempt from submitting wealth tax *
  • Five years plus one. Because of its outstanding tax advantages, the government time gates the tax benefits. It applies on the fiscal year of relocation as well as on the following five years (total up to six years).

 

 

*contingent on the value of your Spanish estate.

 

 

Potential disadvantages

 

 

  • As written above, a legal fiction applies whereby you are regarded as a non-resident taxpayer (non-domiciled). The implication of this is that as you are not regarded as a tax resident, you may not benefit from lenient tax allowances on personal income tax as would be standard practice.
  • This tax scheme only works out if the taxpayer's country of origin has a double taxation treaty in place with Spain.

 

 

Conclusion

 

Beckham’s Law addresses a gap for high-end professionals who wish to relocate to Spain (on the back of a job contract), alone or with their families, and enjoy all the country has to offer, including ultra-low taxes, regardless of where they settle down in Spain i.e. in Mallorca.

 

If you are a high-flyer, don’t fancy paying many taxes, and wish to relocate to Spain (legally), this is the tax scheme for you. Give us a call!

 

In effect, this blue-ribbon tax scheme allows you, and your family, to get the best of both worlds; you get to enjoy all the perks of being legally resident in Spain albeit you are fiscally treated as a non-resident taxpayer, paying little to no tax. In my book, that’s a win-win.

 

At Larrain Nesbitt Abogados, we offer the following immigration service: Beckham's Law

 

 

 

Please note the information provided in this article is of general interest only and is not to be construed or intended as a substitute for professional legal advice. This article may be posted freely in websites or other social media so long as the author is duly credited. Plagiarizing, whether in whole or in part, this article without crediting the author may result in criminal prosecution. Ní neart go cur le chéile. VOV.

 

2.023 © Raymundo Larraín Nesbitt. All Rights Reserved.

Spain’s Non-Lucrative Visa Explained (Pensioner’s Visa)

My Spain Residency, October, 10. 2023

Lawyer Raymond Nesbitt explains to us one of four legal ways to bypass the pesky 90/180-day rule that now affects all UK nationals post-Brexit.

 

Marbella-based Larraín Nesbitt Abogados (LNA) has over 20 years’ taxation & conveyancing experience at your service. We offer a wide range of 50 legal and corporate services. Our team of native English-speaking lawyers and economists have a long track record successfully assisting expats all over Spain.

 

You can review here our client’s testimonials.

 

Article copyrighted © 2023. Plagiarism will be criminally prosecuted.

 

By Raymundo Larraín Nesbitt
Director of Larraín Nesbitt Lawyers
8th of October 2023

 

The non-lucrative visa has proven wildly successful over the last few years. The typical applicants are a retired couple who wish to spend their twilight years enjoying the very best of the gorgeous Spanish weather & fine food at affordable prices.

 

Please note this visa service is only open to non-EU residents (i.e. British).

 

NLV general requirements

 

  • Not to be already in Spain illegally at the time of making the application.
  • Clean criminal record (previous 5 years).
  • Hire your own health or medical insurance (full coverage) with a Spanish healthcare provider (applicants must be under 75 y.o. to apply).
  • €29,000 in savings for the main applicant. For every additional dependant, you need to add a further €8,000.
  • You must not suffer from any of the diseases that may have serious public health repercussions.
  • Proof you can secure accommodation in Spain.
  • You cannot work in Spain, you can also not be working at the time of making the application.

 

 

LNA offers the following visa service (Ts & Cs apply): Non-Lucrative Visa

 

Available from us for only £300/applicant, plus VAT.

 

What’s holding you back from enjoying a well-earned retirement? Give us a call.

 

You can call us at our UK line: (+44) 07543838218

 

LNA has a 100% track record of attaining Spanish visas & residency permits

 

Larraín Nesbitt Lawyers, small on fees, big on service. Your family’s success is only one call away: (+44) 07543838218.

 

At Larrain Nesbitt Abogados, we have assisted hundreds of EU and non-EU nationals to successfully attain Spanish residency permits & visas.

 

Interested? Come and speak to Larraín Nesbitt Abogados’ friendly staff who will be pleased to guide you through the different residency options, choosing the one that appeals to you most.

Spanish Golden Visa: 10 reasons to apply

My Spain Residency, June, 13. 2023

 

By Raymundo Larraín Nesbitt
Director of Larraín Nesbitt Abogados
8th of June 202

 

1. Golden Visas do not automatically make you tax resident in Spain upon renewal, unlike every other visa in Spain. This is a unique tax advantage exclusive only to GVs. No other visa in Spain shares this unique trait. Only for this reason, affluent investors will find it most appealing if they do not fancy paying taxes in Spain.

2. Allows you to (legally) override the 90/180-day that limits stay in Spain (and by extension in the Schengen Area/EU). This visa allows you unfettered access to Spain. You can enter and leave the country when and as you please, even overriding Covid flight bans, as you will hold a select residency permit that (very) few people hold.

3. Clear rules. Initially granted for 3 years, then renewable every 5 years.

4. No minimum stay is required. You can spend as little as only one day in Spain, or the full year-round, at your choice.

5. Fast-tracked. Golden visa applications are greatly expedited by rapport to standard visa applications. Golden visas are granted in only 3 weeks through us.

6. Streamlined. Golden Visa applications are (greatly) streamlined, removing all the unnecessary admin red tape normally associated to standard visa applications, making applicant’s lives easier.

7. The whole family is included as dependents, even ascendants (such as grandparents).*

8. You can work in Spain (optional).

9. Leads to permanent residency (optional).

10. Leads to Spanish citizenship (optional).

 

*(subject to criteria)

 

Conclusion

 

The European Commission does not like golden visas.

 

The Spanish government doesn’t like golden visas either (although it greatly benefits from them).

 

Several countries in Europe don’t like them either and have already scrapped them in a trend that is growing and gathering pace throughout all the Union (Ireland, Portugal, etc).

 

On the back of this burgeoning trend, several political parties have piled pressure on the government to suppress them altogether registering proposals at congress (Mas Pais, Podemos, etc). The Spanish government jumped on the bandwagon last month, and made public it will either scrap golden visas, or raise the cap to €1,000,000. It seems they are leaning towards the latter (raising the cap, meaning doubling the required minimum investment).

 

So, what does all this mean for applicants? It means the window of opportunity to attain a golden visa in Spain, by way of investing €500,000 in real estate, is waning by the day. Over the next months, the Spanish government will approve to raise the cap, as reported by El Pais, in effect doubling the minimum investment to 1mn. Anyone who cannot afford to spend a minimum of one million euros in real estate, will be left out in the cold.

 

We strongly advise all non-EUs – who are considering filing for a golden visa in Spain – to do so immediately, before the window of opportunity closes. Obviously, if you are a multi-millionaire, this change does not concern you. But there is also the distinct possibility of the government caving into the political pressure and shutting down golden visas for good, in line with other fellow EU countries.

 

In any event, all would-be golden visa applicants, affluent or not, are strongly advised to act sooner rather than regret it later.

 

At Larrain Nesbitt Abogados, we have made true the dreams of hundreds of non-EU investors, and their families, assisting them to attain a Golden Visa since its inception in 2013. You can browse our clients’ visa testimonials here.

 

Your family’s success is only one call away: (+34) 952 19 22 88

 

Golden Visa (investor visa)

 

Larrain Nesbitt Abogados has a 100% track record of attaining Spanish residency.

 

Golden Visa: Spanish Government planning to either scrap it, or raise the cap to €1mn

My Spain Residency, May, 15. 2023

 

14th of May 2023

 

The Spanish Golden Visa is a success story.

 

Spain has become the number one Golden Visa provider in the European Union since it was introduced in 2013, attracting billions of euros which have contributed to creating countless jobs and improving the productive economy.

 

Out of all the visas available in Spain, it is hands down the one that offers the best perks, along with the new Digital Nomad Visa (known popularly as the tax-free visa), including one which is exclusive to it (explained below) and which strongly appeals to affluent investors.

 

Podemos, the pro-Russian, hard-left (read communist) junior partner of the socialist government is applying inordinate piles of pressure on the Spanish Government to either scrap it or else to raise the bar.

Almost on a weekly basis, El Pais newspaper (which is basically the Government’s spokesperson) publishes articles and thoughtful editorials raising voices against Spain’s popular Golden Visa programme, aimed at HNWIs. The unhidden discontent, which oozes from them, is now gaining traction, especially given how we have entered an electorate phase, and garnering the political support of Podemos is key to ensuring the survival of this government. Attacking the evil rich always attracts votes on poll day for left wing parties, especially on attacking foreigners who are banned from voting on national elections: win-win.

 

This new trend follows on the back of other Union countries which have scrapped Golden Visas (Ireland and Portugal). It’s no secret the European Commission regularly nudges all EU Member states, including Spain, to eliminate Golden Visas as they are seen as a privileged gateway for affluent applicants to bypass stringent migration rules to attain a blue-ribbon free pass. 

 

As a result of this ongoing (unjustified) hate campaign against Golden Visas, the government has now officially announced this week through Pravda El Pais that it is now studying on whether to scrap it, in line with other Union countries and with what its junior (communist) partner demands, or else to raise the bar and make it (yet) more difficult (read onerous) for applicants to access it.  

 

The Spanish Government seems to be gravitating towards the latter, increasing the residential requirement to €1mn euros (was €500,000, a 100% increase). There are multiple ways to attain a Golden Visa in Spain, but the one that is by far the most popular (and cheapest) option is to invest €500,000 in real estate. All other Golden Visa options require investing a minimum of €1,000,000, or more, to attain it. The government is now arguing that all it is really doing with the residential option (buying real estate) is bringing it in line with the remaining options (investments, bank deposits, development, etc), which are far less popular amongst investors.

 

This change is clearly a wake-up call for all those investors who had been sitting on the line for a number of years expecting Golden Visa requirements to be lowered (sic). This is not going to happen; furthermore, it is all too clear now that, if anything, they will be sharply increased.

 

My advice to all would-be applicants is to apply for a Golden Visa now, as soon as possible, as in the best case scenario the investment requirement on residential properties is going to doubled shortly (likely ahead of the national elections this year’s fall to make a nice newspaper headline to attract yet more votes). In the worst case scenario, it is going to be scrapped in line with fellow Union countries.

 

Either way, investors mulling this option, should make a decision soon or risk losing the GV train.

 

Did you know that Golden Visas apply retrospectively? If you have invested in Spain €500,000 in real estate on or after the 28th of September 2013, you may already pre-qualify for one!

 

Interested? Come and speak to Larraín Nesbitt Abogados friendly staff who will be pleased to guide you through Spain’s Golden Visa programme. On applying for a Golden Visa, we assign you one of our immigration lawyers, who will be assisted by one of our in-house visa specialists, guiding and hand holding you through the whole procedure.

 

At Larrain Nesbitt Abogados, we have made true the dreams of hundreds of non-EU investors, and their families, assisting them to attain a Golden Visa since its inception in 2013. You can browse our clients’ visa testimonials here.

 

Apply for the keys to your Golden Visa through Larraín Nesbitt AbogadosGolden Visa Service.

 

Your family’s success is only one call away: (+34) 952 19 22 88

Tax advantages of Spain’s Digital Nomad Visa

My Spain Residency, March, 28. 2023

 

By Raymundo Larraín Nesbitt
Director of Larraín Nesbitt Abogados
21st of March 2023

 

The new Digital Nomad Visa (DNV) offers unique tax advantages that no other Spanish visa can match. Its main outlier - and what distinguishes it from other available visas - is precisely the wide array of tax benefits it offers. The DNV has been purposely devised so successful applicants pay few taxes; the purpose is to incentivize these overachievers to move and work (remotely) in Spain.


The DNV is modelled after Beckham’s Law, enacted in 2015, and which applies to EU residents which in turn was inspired by the UK’s wildly popular Non-Domiciled taxpayer scheme.


It’s a legal fiction whereby a non-EU taxpayer is treated as a non-fiscal resident in Spain, but for administrative purposes, they are regarded as fully resident in Spain. The tax significance of this nuance simply cannot be understated enough and opens the door to a slew of tax benefits I collate below.


Precisely because of its huge tax advantages, the law time-gates it to a maximum of only five years.


Needless to say, a DNV makes you tax resident in Spain (that’s precisely the whole point!).


Because of its nature (to attract talented individuals), and similar to Golden Visas, all applications are fast-tracked. Meaning that in under one month you know if you’ve been accepted.


In a nutshell, the DNV is all about paying little to no tax.

DNV tax benefits


•    All income & assets held abroad go untaxed. In other words, any source of worldwide income is tax-exempt (just like with the popular UKs non-dom tax scheme).
•    DNV holders only pay tax strictly on the income they derive working remotely in Spain for a foreign employer. They will pay a flat tax rate of 24% on the first €600,000 of gross annual earnings over a five-year period.
•    They are not required to file a 720 tax return (unlike Spanish tax residents)
•    The are not required to file Wealth Tax (unlike Spanish tax residents)
•    You can request to defer the payment of tax on the first and second year without penalties or delay interests being rolled on top (as is standard)
•    For the purposes of other tax agencies, you are considered tax resident in Spain.
 
MySpainResidency has a 100% track record of attaining Spanish residency
 
 
 
At MySpainResidency, we have assisted hundreds of EU and non-EU nationals to successfully attain a Spanish residency permit.
 


Interested? Come and speak to our friendly staff who will be pleased to guide you through the different residency options, choosing the one that appeals to you most. Your family’s success is only one call away.

Spain’s Digital Nomad Visa approved!

My Spain Residency, December, 29. 2022

 

By Raymundo Larraín Nesbitt
Director of Larraín Nesbitt Abogados
29th of December 2022

 

The Digital Nomad Visa was approved in Spain on the 23rd of December 2022.

 

The DNV is extensive to family members i.e. spouse and children under the age of 18 years old.

 

It allows you to work remotely from Spain.

 

The main advantage of a DNV is that it grants its applicants a special tax regime whereby they pay very few taxes as opposed to the standard IRPF (personal income tax) sliding scale.

 

Applications are now open for this visa. Please contact us to get the ball rolling.

 

Our law firm has a track record of 100% attaining Spanish residency permits.

 

 

Main advantages

 

  • Five-year residency permit. Initially on a one-year application, followed by two-year renewals up to a total of 5 years. The visa extends to the family of the main applicant.
  • Allows you to work in Spain remotely. Moreover, it encourages you to work in Spain, specifically remotely with your laptop (or desktop).
  • Allows you to legally override the 90/180-day rule that limits stay in Spain (and by extension in the Schengen Area/EU).
  • Tax breaks for the foreign employer (if it has an establishment in Spain)
  • Tax breaks for the employee (DNV applicant). This is the core advantage. It basically applies a privileged non-domiciled tax scheme to visa holders that allows them to pay a flat tax rate of only 24% on the first €600,000 of gross annual earnings over a five-year period.

 

Requirements

 

  • You need to prove you are hired by a foreign company. This is the core requirement.
  • You need to prove you have formal academic qualifications i.e. a university degree, business school or professional qualification.
  • You need to prove you have at least 3 years of work experience.
  • Not to have resided in Spain in the previous 5 years.
  • Not to obtain income from a permanent establishment in Spain.

 

If you wish to apply for a DNV, our law firm offers this visa service: Digital Nomad Visa

 

MySpainResidency has a 100% track record of attaining Spanish residency

 

 

 

At MySpainResidency, we have assisted hundreds of EU and non-EU nationals to successfully attain a Spanish residency permit.

 

Interested? Come and speak to our friendly staff who will be pleased to guide you through the different residency options, choosing the one that appeals to you most. Your family’s success is only one call away.

 

Email: info@myspainresidency.com 

Spain's Digital Nomad Visa

My Spain Residency, October, 14. 2022

 

By Raymundo Larraín Nesbitt

14th October 2022

 

In a nutshell, the Digital Nomad Visa (DNV, going forward) introduces great tax breaks (for both employers and employees), streamlines the visa procedure (reducing waiting times), it allows for greater freedom, and most fundamentally reduces the admin control on applicants

 

This visa is tailor made for high achievers enticing them with one-of-a-kind tax breaks. Frankly, it doesn’t get any better than this.

 

It’s no secret the expectation for the approval of this visa is through the roof. It is hands down the most anticipated visa. For the avoidance of doubt, the DNV is in its last stages of approval, so it is still a draft bill. We expect it to be passed over the next months. Personally, I believe the DNV will in time become the second most sought-after visa following the coveted Golden Visa. 

 

I collate below in bullet points its main advantages and requirements, but with the caveat that some of the highlighted points below may yet be modified by lawmakers on being enacted.

 

Main advantages

 

  • Five-year residency permit. Initially on a one-year application, followed by two-year renewals up to a total of 5 years. The visa extends to the family of the main applicant.
  • It allows you to work in Spain remotely. Moreover, it encourages you to work in Spain, specifically remotely with your laptop (or desktop if you happen to be a dinosaur like me). Unlike other Spanish residency permits (i.e. Non-Lucrative Visa which bans you from working in Spain, even remotely) this visa actively promotes you working in Spain (remotely).
  • Allows you to legally override the 90/180-day rule that limits stay in Spain (and by extension in the Schengen Area/EU.
  • Tax breaks for the foreign employer (if it has an establishment in Spain).
  • Tax breaks for the employee (DNV applicant). This is the core advantage. It basically applies a privileged non-domiciled tax scheme to visa holders that allows them to pay a flat tax rate of only 15% on the first €600,000 of gross annual earnings over a five-year period. Over and above said threshold, they are taxed at the standard top marginal rate of 47%. This greatly empowers digital nomad visa holders to legally circumvent the standard IRPF tax sliding scale that applies to the rest of us punters who are tax resident in Spain. Ah yes, so much for equality.
  • The legal limitation to benefit from the non-dom tax scheme of 5 years is waived and extended up to 10 years.
  • The standard limitation of not having being resident in Spain over the previous 10 years is reduced to only 5 years.

Requirements

 

  • You need to prove you are hired by a foreign company. This is the core requirement. I.e. a freelance IT artist with a contract.
  • You need to prove you have formal academic qualifications (i.e. 3-year university degree).
  • You need to prove you have at least 3 years of work experience.

 

 

In conclusion

 

The Digital Nomad Visa addresses a gap for high-end professionals that wish to relocate to Spain, alone or with their families, and enjoy all the country has to offer, including ultra-low taxes, regardless of where they settle down in Spain.

 

In effect, you get the best of both worlds; you get to enjoy all the perks of being resident in Spain albeit you are fiscally treated as a non-resident, paying (significantly) fewer taxes.

 

In my book, that’s a win-win.

 

 

Once approved, our law firm will offer this visa service: Digital Nomad Visa

 

MySpainResidency has a 100% track record of attaining Spanish residency

 

 

At MySpainResidency, we have assisted hundreds of EU and non-EU nationals to successfully attain a Spanish residency permit.

 

Interested? Come and speak to our friendly staff who will be pleased to guide you through the different residency options, choosing the one that appeals to you most. Your family’s success is only one call away.

 

Email: info@myspainresidency.com 

Tel: (+34) 951 894 675

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