New digital nomad visa in Spain: learn how it works

Due to this law being published on the BOE of December 21st 2022, parts of the information of this article might be outdated. You can look up the official information following the link: Ley 28/2022, de 21 de diciembre, de fomento del ecosistema de las empresas emergentes.

In just a few short years, Europe has become a prized destination for digital nomads. Attractive environments and optimal connectivity constitute the ideal enticement for qualified professionals and entrepreneurs from a variety of backgrounds.

Countries such as Germany, Norway, Iceland or Portugal have special visas for this type of profile, thus facilitating their transfer and stay in the chosen locations. In December 2021, the Spanish Council of Ministers approved the referral to the Cortes of the Start-up Law. The visa for digital nomads in Spain is one of its most interesting sections.

The Draft law also includes a series of benefits for entrepreneurs, such as tax improvements, flexibility of procedures and removal of bureaucratic obstacles. Its objective: attract talent and investment, support technology-based startups and facilitate the residence of digital nomads.

Numerous non-community remote workers have been interested in this initiative. Spain is among their main preferences in terms of a country from which to work and reside temporarily.

Are you thinking of coming to telework in Spain? Do you want learn more about this type of visa? At Cloudworks we bring you up to date.

Digital nomad visa in Spain

Streamlining of visa processing

The future law will speed up the processing of visas for those digital nomads who come to Spain as international remote workers (although living in Spain they will still work for a foreign employer) or freelancers or digital entrepreneurs.

It is important to recall that freelancers will be only allowed to have a maximum of 20% of their clients based in Spain.

Favourable taxation

Holders of the digital nomad visa will have a specific tax regime. As a result, they will enjoy fiscal benefits of a lower tax rate.
Improves the tax regime for Non-Resident Income Tax applicable to:

1. Start-up managers and employees.
2. Investors.
3. Digital nomads (qualified professionals who temporarily work remotely on Spanish territory).
4. Relatives of the three previous types. Everyone is entitled to access a special visa for up to five years.
   

Returning Spanish emigrants

The advantages of the Start-up Law are also applicable to those Spaniards who have not resided in Spain for at least five years. In this case, the advantage of the digital nomad visa is extended from five to ten years, and their relatives can also enjoy it.

Advantages for entrepreneurs of the Draft Law

The planned improvements seek to simplify the bureaucratic procedures that start-ups often have to go through. These are some of the measures proposed:

Creation of a start-up in six hours. Digital registration and standard statutes that allow the company to be incorporated in six hours. Swift management aims to facilitate the increase in investment in Spain.

Elimination of double listing. For three years, entrepreneurs who work at the same time as an employee will not have to contribute twice to Social Security.

Elimination of instalment payments in Corporate and Non-Residents Taxes.

The first 100,000 euros of investment in a start-up will be exempt from taxes. Both for the investor and for the entrepreneur. In the first five years of business, the start-up will have a 50% investment deduction. In case of a biotechnology company, the deduction is extended to seven years.

Serial entrepreneur. The same entrepreneur will have the right to enjoy benefits in up to three business projects in which they participate simultaneously or consecutively.

Investors not resident in Spain must only have a Tax Identification Number (NIF). Therefore, it will not be necessary to obtain a NIE to make a one-off investment.

Digital nomad visa in Spain and its entry into force

The Government hopes that, after parliamentary processing, the final approval of the law and its entry into force will take before 2022 ends. The digital nomad visa will soon become a reality if expectations are met.

Undoubtedly, it’s fantastic news for those highly qualified non-EU professionals interested in combining their work with immersive tourism in Spain.

National Host Village Network for Teleworking

The interest in facilitating mobility and capturing the talent of qualified professionals who work remotely favours the launch of attractive proposals. One of them has emerged in Spain. This is the National Host Village Network for Teleworking.

The project, promoted by the Red Eléctrica Group, El Hueco and the Booking platform as support, tries to attract digital nomads to the so-called empty Spain.

A good connectivity, coworking spaces or public transport connections are part of the services offered by the thirty municipalities that make up the network so far.
The immersion in the life of the town also has the support of a host. A kind of host that serves as a contact and guide for digital nomads.

The sojourns in the municipalities can be short, medium or long term. Whichever option is chosen, the presence of the new neighbours helps boost the local economy and the cultural exchange.

The digital nomad visa in Spain is going to mark a positive turn for many foreign professionals. A whole world of opportunities in a new work environment designed to meet the personal and professional expectations of working people.

As a digital nomad who chooses big cities, at Cloudworks you can enjoy coworking workspaces according to your needs, both in Madrid and Barcelona. Well-connected locations with flexible access plans.

You only have to contact us and we will open up a world teeming with possibility so you can have an enjoyable and rewarding work experience in Spain.

If you have any immigration-related doubts about the Spanish Digital Nomad Visa, we recommend you to check the website of one of our affiliates: remotefromspain.com and their self-assessment tool.