Spain

Why Spain?

If you're reading this from Spain, you probably already know the brackets. What matters to you as a potential nomad is the real cost of staying versus moving. Spain has one of the highest tax burdens in Southern Europe for liberal professionals.

General IRPF brackets (2025):

• €0 – €12,450: 19%
• €12,450 – €20,200: 24%
• €20,200 – €35,200: 30%
• €35,200 – €60,000: 37%

• €60,000: 45%

• Regional add-ons can push the marginal rate to 47-50% in Catalonia, Valencia, Asturias.

Self-employed contribution (RETA): new progressive system since 2023, ranges from ~€230 to ~€590/month based on net income.

Standard VAT: 21%. Reduced 10% (hospitality, transport). Super-reduced 4% (basic food, books).

Beckham regime (impatriates)

Art. 93 LIRPF lets you file as a non-resident for 6 years if you come from abroad and haven't been a Spanish tax resident in the previous 5 years:

• Flat 24% on the first €600,000 of employment income.
• 47% on the excess.
• No taxation on foreign-source income (crypto, US dividends, etc.) — except work performed in Spain.

Who qualifies: displaced employees, non-owner administrators (<25%), digital professionals under the new Digital Nomad Visa.

Who doesn't: pure freelancers without an impatriation contract, professionals who were already resident in Spain in the last 5 years.

Modelo 720 and Modelo 721

If you have foreign assets and are a Spanish tax resident:

• Modelo 720 (filed in March): foreign bank accounts, securities and real estate worth >€50,000 (per category). Informational. Sanctions softened after the CJEU ruling of January 2022.
• Modelo 721 (since 2024): foreign-custodied crypto assets worth >€50,000. Applies if you hold USDT/BTC on Coinbase/Binance/Kraken or any non-Spanish exchange.

Not filing = high risk. The 150%-of-value sanctions no longer apply, but proceedings and formal fines still do.

Center of economic interests test

Even if you register abroad and spend <183 days in Spain, Hacienda can deem you a tax resident if the core of your economic interests is here:

• Family (spouse, minor children) living in Spain.
• Spanish company with you as administrator.
• Main bank accounts and movements in Spain.
• Habitual residence available.

The burden of proof is reversed: you must demonstrate that your real residence is abroad. That's why a "paper change" without actual disconnection is the main way these cases are lost.