If an afternoon siesta sounds like your preferred productivity hack, look no further than Spain. As of 2023, Spain has created a digital nomad visa program for remote workers to live and work for up to five years in the country.
The digital nomad visa is designed for non-residents wishing to live in Spain. If you are employed by a foreign company, you must provide evidence of permission to work remotely in Spain. For self-employed individuals, working with Spanish clients is permissible, provided it doesn't exceed 20% of your total workload.
Prior to applying, you must have at least 3 years of relevant work experience in your professional field or a university degree.
Finally, you must not have resided in Spain during the past five years and you must have a clean criminal record.
Find a detailed checklist here provided by the Spanish consulate in London.
You are allowed to stay for up to one year, with the option to renew for an additional four years. After living continuously in Spain for five years, you may be eligible to apply for permanent residence.
You must earn at least 200% of the Spanish national monthly minimum wage. In 2024, this amount is €1,134.
You will need to make an additional 75% of this monthly minimum wage for the first additional family member and an additional 25% for each subsequent family member.
If you're a non-resident in Spain (meaning you've spent less than 183 days in a calendar year—the Spanish tax year runs from 1st January to 31st December), a 24% tax rate applies to you. This rate is applicable to the first €600,000 of your income per year during the initial four years of your stay in Spain. Any earnings over this amount are taxed at 48%.
If you're a tax resident in Spain, which means you've spent more than 183 days there, you will be taxed according to the standard Spanish income tax rates.
Spain maintains double taxation agreements with 90 countries like the United Kingdom, United States, Canada, Australia, and all EU member states. Be sure to consult with a tax professional if you’re already taxed in your home country.
Counting your days can be a hassle. 183 days (six months) is the magic number beyond which you become a Spanish tax resident. Enjoy Madrid or Mallorca with peace of mind by keeping track of time spent in Spain with Pebbles.
Author
Pebbles
Published
March 31, 2024
