This morning The Guardian newspaper published how Spain plans to issue visas for “digital nomads” who give to British and other non-EU citizens the opportunity to work here.
In The Guardian they valued being able to work in the sun, with a cheaper cost of living and with tax exemptions involved, while there are “excellent 4G coverage in almost all of Spain“, which is “among the fastest in Europe”.
The visas will be offered to people who work remotely for companies outside of Spain and who obtain a maximum of 20% of their income from Spanish companies. We must remember that the law has not yet been approved, so some details still have to be specified, but there is already information that has been known about it and we will give you a summary of what it will mean.
This decision is part of the Startups Law that has been in development since last year.
Who is this residence permit for?
The visa is like a residence permit, which may have an initial validity of one year, renewable up to five years according to the specific circumstances of the person. Also, it’s not just for one person. If a digital nomad has a partner and children, they can apply for a visa for the whole family.
It’s funny that it’s open, in principle, to all nationalitiesm outside the European Union, because for Europeans it is already easy to move from one country to another in the common territory (it is curious about European border policies, closed to many nationalities).
To get it you have to show:
- who exercise a work or professional activity remotely for companies based outside of Spain.
- Be a highly qualified professional (university graduate or postgraduate, with vocational training and/or certificates) with a minimum of 3 years professional experience.
- Have an employment contract. For the Self-employed people must prove that they have been regularly employed by at least one company outside of Spain. It is also necessary to demonstrate that they carry out a real and remote and continuous work activity for at least one year.
- Prove that they will earn enough to be self-sufficient and that they have an address in Spain. It is rumored that a minimum income of 2,000 euros could be requested, but there is no concrete information. In this regard, one must bear in mind that in Croatia applicants must earn at least €2,300 per month, in Estonia €3,500, in Iceland €7,100 and in Portugal €700.
- It is not yet clear whether they will have to undergo a criminal background check.
Visa conditions
Now that we know who can apply for this visa, let’s see the conditions it will offer to digital nomads who arrive in Spain. The conditions are:
- During the first four years these people will be taxed at 15%instead of the standard basic rate of 25% for those who earn up to 600,000 euros.
- Those who earn more than 600,000, the tax rate will remain at 47%.
- To pay taxes in this way, the requirements will be lowered, passing from 10 to 5 years the maximum period to have been a tax resident for the last time in our country. The period of enjoyment will also be extended, from 5 years to 10.