In recent years, the number of digital nomads settling in Spain has increased significantly. This lifestyle involves working online and having the freedom to work from anywhere in the world. However, it is important to understand the digital nomad taxes in Spain. Below are the different taxes that must be considered in this case.
Which digital nomad taxes must be paid if you have a visa?
- Personal Income Tax (IRPF): this tax applies to all income earned by digital nomads who reside in Spain for more than 183 days a year. The tax rate varies depending on income and can be up to 45% for income over 60,000 euros per year.
- Value Added Tax (VAT): digital nomads who sell products or services online must register for VAT if their annual sales exceed 10,000 euros. The applicable VAT rate in Spain is 21% for most goods and services.
- Corporate Tax: if a digital nomad has a company registered in Spain, they will also be subject to corporate tax. The tax rate for this tax is 25% for most companies.
- Taxes in other countries: digital nomads who work online must also consider taxes in other countries where they perform work or sell products. It is important to ensure that all tax obligations in each country are met.
In addition, digital nomads can take advantage of certain tax benefits, such as tax exemption on the first 60,000 euros of income for new self-employed workers and the deduction of work-related expenses, such as accommodation and business trips.
Without a doubt, digital nomads residing in Spain must take into account the taxes that apply to their online income and sales, as well as taxes in other countries where they work. It is important to comply with all tax obligations to avoid legal and financial problems in the future. Therefore, it is recommended that digital nomads consult a tax advisor to obtain detailed and up-to-date information on their tax obligations in Spain.
Do you need more information about taxes in Spain?
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