We have really good news! The new law for startups in Spain has been finally published, and with it, important changes within the immigration law.
With this law, aimed to promote and develop entrepreneurship in the country, a new visa will be created for digital nomads and remote workers who are in Spain.
So if you would like to learn everything you need to know about the new visa for digital nomads and its requirements, keep reading!
The digital nomad visa is a 3-year residence permit that allows non-EU citizens to move to Spain and work for a company or clients based abroad.
During the past months since its birth, it has become one of the most popular options for expats worldwide wishing to enjoy the wonders and lifestyle of the Spanish culture.
And, in fact, this residency not only offers great advantages when it comes to its requirements and application process (compared to other types of working authorizations), but also offers, under certain circumstances, huge tax advantages.
That, and much more, is what we will explore throughout this article, so keep reading!
But, where does this visa come from?
On the 22nd of December of 2022, the Spanish Government officially published the Startup Law, with the aim of revolutionizing Spanish legislation related to entrepreneurship and the startup world.
The digital nomad visa was inside it.
More specifically, this new startup law aims to:
- Boost the entrepreneurship ecosystem in Spain, facilitating and enhancing the creation of new fast-growing technology companies.
- Attract foreign investment and talent to the country
- Convert the Spanish territory into a real hub of reference for international entrepreneurship
To achieve these objectives, the government proposes to offer a large number of tax incentives to startups and foreign workers, to offer investment facilities and to regulate the sector in a more beneficial way for its development.
And, to attract this international talent: to create a new visa for digital nomads and remote workers relocated in Spain.
Who can Apply for the Digital Nomad Visa for Spain?
Until now, many foreigners had a common problem.
Although it is true that some did not intend to develop any type of economic activity in Spain, in many occasions they wanted to continue working for a foreign company or offer their services to international clients while enjoying the Spanish lifestyle.
The non-lucrative or non-profit residency was the most suitable option in these cases, but it had the disadvantage of not allowing them to carry out any type of economic activity.
But all these foreigners will now have it very easy, because with the new visa under the startup law they will find the perfect path to regularize their situation and work remotely from this country.
Thus, we find three different profiles of foreigners who could benefit from the new residence permit:
- Foreigners who work remotely from Spain for a company outside Spanish territory.
- Those known as digital nomads, people who in many cases have different sources of online income and who travel from one country to another (including freelancers with clients all over the world)
- In addition, it is also planned to include a visa for people who work in a foreign company located in Spain, including the audiovisual sector.
Would you like to start your remote work visa application today? Get in touch with our lawyers and start now:
Spain Digital Nomad Visa Requirements
The list of requirements is quite straightforward, but it will be essential for the application to fully understand it in order to assess if she can actually apply for this visa:
- First of all, to prove that you are an international remote worker who wants to settle in Spain
- On the other hand, it will also be crucial to prove that of the total income, the part coming from Spain does not represent more than 20%
- Demonstrate that there is a continuous employment relationship of at least one three months the company for which the applicant is working remotely. This company must also certify that online working for the applicant is allowed
- This company or companies with which the digital nomad has a relationship must have been operating in the market for at least 1 year
- 1 year contract with that company
- The academic and professional profile of the applicant must be sufficient. And here there are 2 different options. First, to have graduated from a prestigious university or business school; or, second, demonstrate previous working experience of at least 3 years
- Demonstrate possession of sufficient economic means. This can be proven by having an annual salary of €31,752, which is €2,646 per month
In addition, we also find the general requirements that are also to any other residency:
- Submit your criminal record certificate with a minimum validity of 90 days
- Include a declaration of no criminal record for the last 5 years
- Not to be prohibited from entering Spain
- Hire private health insurance
- Filling out the application form, which you can download here
- Pay the corresponding fee (790 0386
Benefits of working as digital nomad in Spain
We can find two main benefits offered by this new startup act:
New residence permit
The first and perhaps the most important benefit is the creation of a new type of residence permit designed specifically for the cases seen in the previous section.
This means that if the foreigner meets the requirements, obtaining residency in Spain will be much easier than it has been until now.
There are two different options or scenarios:
- Apply for residence as a digital nomad directly from Spain, during the first 90 days on a tourist visa
- Start the application at the Spanish consulate located in the country of origin.
In the first option, you will get a residence card for 3 years (unless requested for a shorter period of work), which can be renewed every 2 years (being able to apply for permanent residency at 5 years and at 10 years citizenship).
In the case of initiating the process from your country of origin, a 1-year visa would be obtained first, which could be then modified later to the 3-year residence card.
Main advantages of this residency
One of the main features of this visa is that it is contained within the Entrepreneurs Law or Law 14/2013.
We have already seen one of the great advantages of this (the fact that you can start the application directly from Spain as a tourist), but there are more:
- Firstly, if you apply for this permit you will enjoy a fast-track application in just 20 working days (vs the 3 months that permits under the general regime experience)
- The applicable administrative silence is positive, so if you do not receive notification after these 20 days your application will be considered approved
- You will be able to include your family members in the application, and they will be able to get the residence as well
- The time with this residency counts for permanent residency and for Spanish citizenship
- Once you get this permit, you will be able to travel and move freely throughout the European Union
- It also allows you to work for a Spanish company or client as long as the income you obtain from that company does not surpass more than 20% of your total income
Tax benefits
On the other hand, digital nomads applying for this visa under the new startup law will also have great tax benefits.
DNV applicants, as long as they work for a company and are not freelancers, can access a completely favorable tax regime; offering greater flexibility to pay and access the non-resident income tax (the type of taxes they must pay since their economic center of interest is not in Spain).
This means a reduction in the taxes that these remote workers would pay; since up to €600,000 they would pay 24% of their income derived from work instead of paying a progressive rate that can reach up to 48% (something very similar to the Beckham Law).
On the other hand, the conditions to access to this reduced rate tax (the non-resident income tax) are lowered, moving from 10 to 5 years the required period of non-residence for tax purposes in the country.
Furthermore, this special tax regime can be applied for up to 6 months after obtaining the residence permit as a digital nomad; and it can be enjoyed for a total of 5 years (after that, it would be transferred to the general regime).
In addition to all this, for the remaining taxes, they will be considered as non-residents for tax purposes.
This means that they will not have to pay wealth tax or complete the 720 informative model; something that undoubtedly streamlines the foreigner’s life in the country.
You can access a complete guide on digital nomad visa taxes here.
How to apply for Digital Nomad Visa in Spain: Step by step
Here are the steps you must follow in order to obtain this visa.
But before, bear in mind that you have two different options, apply from your country of origin or directly from Spain as a tourist.
Let’s the whole process:
- The first step is understanding all documents and requirements that apply to your case (and yes, those may change), and preparing your file. Planning here is crucial, as some documents do have expiration dates and you will have to properly schedule to have everything up to date at the time of application.
- Then, you must submit your application. As we said, you have two options.
- If you apply from your country of origin, you will submit your application to the Spanish consulate. Once the application is granted, you will receive a visa with which you will have 30 days to travel and enter Spain.
- If you are going to apply directly from Spain, you will have to obtain a tourist visa to enter the country (check here if you are required to obtain a tourist visa or not), and during your 90 days as a tourist, submit your application online to the UGE.
- No matter when you enter Spain, the first thing you must do is get your empadronamiento. That is, registering your address at the city hall.
- Once you obtain your positive resolution, you will have to book an appointment at the corresponding immigration office, to get your fingerprints registered. You will have to also submit 3 passport-sized pictures, and pay the corresponding fee.
- After 30 days, you will have to go back and pick your physical residency card (called TIE).
Frequently asked questions about the digital nomad visa in Spain
We tend to get asked the same questions, over and over again, by our clients. So we have included an extra section answering all of them, to finally clear any doubts you may still have on this residency.
How much does a Digital Nomad Visa for Spain cost?
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How long does it take to get the Visa?
One of the advantages of this visa (as long as the rest of the visas under the Entrepreneurs Law), is that it offers a fast-track application process.
This means that you will obtain a favorable response from the administration 20 labor days after submitting your application.
And, in case you haven’t heard from the government before, your application is considered approved by positive administrative silence.
So, either way, you will obtain your visa in a maximum of 20 days.
Of course, and in order to be even more precise, we would have to add up the time it takes for the applicant to prepare and gather all required documents; which can take from 1 to 2 months.
What if they denied my Spanish digital visa?
If your application gets rejected, you will have 30 days after receiving the notification to submit an appeal.
In order for this appeal to be successful, you must make sure to clearly demonstrate and justify why you actually met all requirements and you are eligible for this visa.
If that has happened to you, our team of immigration lawyers can help you out succeed in this phase.
Is the same a Spain Digital Nomad Visa and Non-lucrative Visa?
No, those are 2 completely different visas, regulated by 2 different laws, and their applications are reviewed by 2 different institutions.
Nevertheless, this assuming both are the same is common.
And that is because before the existence of the digital nomad visa, many foreigners used the non-lucrative visa as the path to work remotely in Spain (even though technically that was not allowed).
Nevertheless, today the digital nomad visa is the right path to remote workers; while the non-lucrative visa is the right residency for those with sufficient economic means (over 30.000€ in savings) who wish NOT to work in the country.
Are there any restrictions with the Spain Digital Nomad Visa?
When it comes to eligibility criteria, there are no restrictions. You must make sure you meet ALL requirements (please check all sections in this article), and by complying with that you will ensure a successful application.
Nevertheless, perhaps the most common restriction found is when the applicant has more than 20% of her total income deriving from clients in Spain (which cannot be the case).
How long is the Visa duration?
The digital nomad visa will be valid for 3 years, or less in case you define you will stay less than that in the country. Nevertheless, those 3 years can be extended.
Can I extend my Digital Nomad Visa in Spain?
Yes, once your 3 years come to an end, you will be allowed to renew your digital nomad visa. For that, you must make sure you still meet the same conditions and requirements that allowed you to apply in the first place.
Also, consider that this visa extension (renewal) must be submitted 60 days before the expiration of your card, or 90 days after.
Is there a minimum income requirement needed?
Yes, in order to successfully apply for this visa you must demonstrate an annual salary of €31,752 (which is €2,646 per month) or more.
Get in touch with our lawyers and let us guide you step by step:
