The document is a presentation about international teleworking and the implications for visas, work permits, social security, and taxes. It defines a digital nomad as a professional working remotely for foreign companies. There are two options for digital nomads to stay in Spain - a visa allowing up to 1 year or residence permit allowing up to 3 years. Requirements include proof of remote work, salary, qualifications, and health insurance. Social security contributions depend on international agreements and work status. A special tax regime applies to employees relocated to Spain with tax rates up to 24% on incomes up to €600,000.

1. International
teleworking: migration,
tax and Social Security
implications
AGM
ABOGADOS
www.agmabogados.com
April 19th, 2023
WEBINAR

2. Meritxell de Vilalta Bufurull
SPEAKERS
Mª Eugenia Blasco Rodellar
Partner of the Immigration and International
Mobility of Workers area
meblasco@agmabogados.com
Lawyer in the Fiscal and Tax area
mvilalta@agmabogados.com
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3. INDEX
1. Introduction
2. Definition of Digital Nomad
3. Visa
4. Work permit
5. Social Security implications
6. Special tax regime
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4. 1. Introduction
✓ Approved by Start-Ups Law (Law 28/2022 of 21st December).
✓ Get into force the December 23rd, 2022.
✓ The aim of the law is to establish a specific framework to support the
establishment and growth of start-ups in Spain and a system to
evaluate the start-ups in the Spanish ecosystem.
✓ The Law amended the Entrepreneur Act 14/2013 of September 27th
including a new category of permit for digital nomad and modifying
other previous permits, such the Entrepreneur and High Qualified Work
Permit.
✓ Previous Legal Situation → There was no specific regulation for these
professionals. Sometimes they applied for non-lucrative residency as a
formula that would allow them to work remotely in Spain. All previous
residence and work permits required to have a local contract with a
Spanish company or to be relocated from the foreigner company.
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5. 2. Definition of Digital
Nomad
With the new Startup Law…What is considered a Digital Nomad?
• Professional from a foreign country (not of the European Union) who
carries out a labor activity (employment contract/employee) or a
professional activity (commercial contract/services/contractor)
remotely for companies located outside of Spain.
Certain Requirements apply to be considered as a “professional foreigner”:
• Graduates, postgraduates, vocational training courses.
• Alternatively, professional experience→ minimum 3 years same role.
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6. 2. Definition of Digital
Nomad
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And also, certain requirements of “Work Activity”:
1. Labor activity:
1. Business activity minimum of 1 year.
2.Employment relationship of at least 3 months and carried out 100%
remotely.
3.Companies located outside Spain.
2. Professional activity:
1. Business activity minimum of 1 year (companies working for).
2.Commercial relationship of at least 3 months and carried out 100%
remotely.
3.Companies located outside Spain.
4.limit of no more 30% of total turnover from Spanish companies' clients.
5.Clients: companies only not individuals.

7. FIRST OPTION: VISA
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Two types of cases:
SECOND OPTION: RESIDENCE
If you wish to extend your stay in Spain, you may switch to Residence (option 2)
before your visa expires.
For those intending to live in Spain for a maximum of 1 year.
→ application in the Spanish Consulate.
2. Definition of Digital
Nomad
For those intending to live in Spain for more than 1 year and maximum
of 3 years (renewal +2 years)
→ application in Spain.

8. Characteristics:
▪ Valid for a maximum of 1 year.
▪ The visa allows you to reside and work (no need to get a TIE).
▪ If you wish to extend your stay in Spain, you may switch to residence (option 2) before
your visa expires.
▪ Direct family reunification with a work permit (spouse or partner, children minor
aged or legal age who are dependant, and dependant parents).
Requirements:
▪ Passport.
▪ Proof of labour relation for at least the last 3 months (last three payslips and an
employment contract).
▪ Proof that the company has been active for at least 1 year prior to the submission.
▪ Letter from the company authorising to work remotely from Spain. The letter must
detail role, salary (2*Minimum Salary in Spain → €2,520/month), terms and
conditions of carrying out the role remotely.
▪ Diploma and/or proof of experience to carry out the role.
▪ Certificate confirming Social Security coverage (see point 5).
▪ Criminal background check.
▪ Health insurance.
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3. VISA – Main characteristics
& requirements

9. Characteristics:
▪ Valid for a maximum of 3 years.
▪ Residence and work permit. Necessary to get your TIE.
▪ Possibility to extend for periods of 2 years.
▪ Direct family reunification with a work permit (spouse or partner, children minor aged
or legal age who are dependant, and dependant parents).
Requirements:
▪ Passport.
▪ Proof of labour relation for at least the last 3 months (last three payslips and an
employment contract).
▪ Proof that the company has been active for at least 1 year prior to the submission.
▪ Letter from the company authorising to work remotely from Spain. The letter must
detail role, salary (2*Minimum Salary in Spain → €2,520/month), terms and conditions
of carrying out the role remotely.
▪ Diploma and/or proof of experience to carry out the role.
▪ Certificate confirming Social Security coverage (see point 5).
▪ Criminal background check.
▪ Health insurance.
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4. RESIDENCE - Main
characteristics & requirements

10. Situations:
1. Contract as an employee.
2. Freelance/contractor/commercial-service contract/owner of the company.
Social contributions:
1. With international agreement.
2. Without international agreement.
❑ EMPLOYEE + INTERNATIONAL AGREEMENT:
Maintain Social contributions in country of origin if posting accepted, if not accepted see next.
❑ EMPLOYEE + NOT INTERNATIONAL AGREEMENT (or not accepted):
Company should pay Social contributions in Spain
❑ FREELANCE/OWNER etc. + INTERNATIONAL AGREEMENT:
Maintain Social contributions in country of origin if posting accepted, if not accepted see next.
❑ FREELANCE/OWNER etc. + NOT INTERNATIONAL AGREEMENT (or not accepted):
Letter of commitment to register in Spain as an “autónomo” once the visa/permit is granted.
5. Social Security
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11. 5. Social Security
How to pay Social contributions in Spain as a foreign
company?
• Employers that hire workers for the first time in Spain should request their own
REGISTRATION as a company (not establishing a work center in Spain) at the Social Security
Treasury General Administration Office.
✓ If they get a digital certificate, they can submit their request by accessing the e-Office.
• Documents:
o Official application form.
o Identity document of the company owner.
o Tax Identification Number in which the economic activity of the company is recorded
(to get that number some documents from the company required).
o Copy of the articles of incorporation of the foreign company, registered.
o Assignation (or power of attorney) of a legal representative residing in Spain.
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12. How to pay Social contributions in Spain as an “autónomo”?
• Working as a freelance/contractor/or having more than 25% of shares od the company and
being manager → Register in Spain in “autónomo” Social Security regime (special regime for
self-employment).
• Paying social contributions in Spain according to the net year income. To calculate it ¿Cómo
calculo mis rendimientos?
• To calculate a simulation about the amount of the social contribution simulador:
o Minimum quotation for a monthly income of €2,520 (needed to get the permit) → €336.47.
o You can pay more to get more rights (retirement pension, paid sick leave, …).
5. Social Security
• These are the situations protected by the Social Security in the special regime for self-
employment:
o Medical leave due to common illness and non-occupational accident.
o Medical leave due to occupational illness or accident at work.
o Birth and care of a child.
o Risk during pregnancy and breastfeeding.
o Permanent disability.
o Widowhood and orphanhood.
o Cessation of activity due to involuntary causes.
o Retirement.
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13. 6. Special Tax Regime for
employees posted to Spain
(“Beckham Law”)
Purpose: to support initiatives to attract "talent" by Spanish companies.
Case of application:
✓ Individuals who acquire their tax residence in Spain as a result of their
relocation to Spanish territory.
✓ Individuals who exercise the option for the Special tax regime. 6 months
from the date of relocation.
✓ It determines the non-residents taxation while maintaining the status of
resident taxpayer.
✓ The regime does not apply to the special employment relationship of
professional athletes (1/1/15).
✓ Application: tax period of relocation plus the following 5 tax periods.
Possible renouncement.
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14. Requirements (since 01/01/2023)
1. Not have been tax resident in Spain within the last 5 years prior to their new move to Spanish territory (until December 2022,
10 years).
2. The relocation occurs as a result of any of the following circumstances:
a) Commencement of an employment relationship with an employer in Spain/ posting ordered by the employer and there is
a letter of posting. As of 01/01/2023, when the employee renders the labor activity remotely through exclusive use of
informatic or telematic means (international remote work permit).
b) Acquisition of the condition of director of a Spanish entity. It does not apply to patrimonial entities.
c) Performance in Spain of an economic activity qualified as an entrepreneurial activity (ENISA favorable report).
d) Performance in Spain of an economic activity by a highly qualified professional providing services to emerging companies
or carrying out training, research, development and innovation activities, receiving a remuneration representing, in total,
more than 40% of the total business, professional and work income.
3. That the taxpayer does not obtain income that would be classified as obtained through a permanent establishment located in
Spanish territory. As of, 01/01/2023, except activities that allows to apply for the regime.
6. Special Tax Regime for employees posted to
Spain (“Beckham Law”)
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15. Tax rate:
✓ Application of a tax rate of 24% up to €600,000. On the excess, 47%.
✓ The foreseeable remuneration in each of the tax periods can exceed the
amount of €600,000 per year (monetary, in kind, fixed and variable).
✓ The taxpayer will pay taxes in Spain for the salaries earned worldwide.
Other kind of income, only for the obtained in Spain.
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6. Special Tax Regime for
employees posted to Spain
(“Beckham Law”)

16. A few remarks:
• As of 01/01/2023, the Special tax regime extends to family members (spouse
and children under 25 years) who may accompany the applicant.
Requirements:
✓ Joint or subsequent relocation before the end of the tax period in
which the scheme applies.
✓ Not have been tax residents within 5 tax periods before the relocation.
✓ Acquisition of tax residence in Spain.
✓ They must not obtain through a permanent establishment located in
Spanish territory.
✓ The tax bases between the family should be lower than the taxpayer’s
tax base.
• The taxpayer will NOT be obliged to complete the informative tax return on
assets and rights abroad, form 720 (CV 16/1/14).
• Subject to real obligation for wealth tax purposes (only for goods located in
Spain).
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6. Special Tax Regime for
employees posted to Spain
(“Beckham Law”)

17. WE ARE AGM ABOGADOS
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best and fastest solution to our clients' legal problems.
That is why we bring together an international team of more than 100 professionals, spread between
Barcelona, Madrid, Sabadell and Paris, each specialised in their particular area and, above all, passionate
about their work.
We are one of the top 35 Spanish law firms in the country and the only one with our own office in
France.
We are recommended by prestigious law firm rankings:
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18. FIND US
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C/del Sol, 217, local | 08201
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Tel: +33 1 44 43 00 70
Fax: +33 1 47 20 57 70
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