The concept of the digital nomad, a professional who works remotely and does not spend the entire year in the same location, is becoming increasingly common.

Andorra has recognized this and has joined the countries aiming to attract this type of resident. They have done so by implementing a visa for digital nomads introduced by Law 42/2022, dated December 1, on digital economy, entrepreneurship, and innovation.

This visa is very new: although it technically came into effect at the beginning of 2023, it has only been available since mid-2023, as there was no regulation that developed the application procedure.

What is a digital nomad according to Andorran legislation?

Generally, a digital nomad is defined as a person who does not need a specific geographic location to perform their work and uses telecommunications and technology to carry out their professional activities.

In our experience, digital nomads are often content creators, entrepreneurs, and especially well-paid contractors for foreign companies.

What is the digital nomad visa in Andorra?

The digital nomad visa in Andorra is a new type of residence permit that complements the existing active and passive permits. It is designed for foreign individuals who:

• conduct all their work using telecommunications and technological means (computer, online communication, social networks, etc.);
• do not require a specific geographic location to perform their work;
• provide services to clients or entities not residing in the Principality of Andorra.

What are the requirements to obtain the digital nomad visa in Andorra?

The most distinctive feature of obtaining the digital nomad residence permit is that it requires approval from the government of Andorra.

However, it is still not entirely clear what specific characteristics the Andorran executive requires, but we know they seek profiles that contribute to the development of the digital economy, entrepreneurship, or innovation in the Principality of Andorra.

To be eligible for this visa, you must also meet the following requirements:

• Approval from the Ministry of Economy: You must obtain a favorable decision from the ministry responsible for the economy that recognizes you as a person working remotely using telecommunications and technology.
• A duly completed and accepted application for residence without work authorization.
• Sworn statement of criminal record.
• Sufficient economic means: it is essential to demonstrate that you have the necessary financial resources to reside in Andorra for the duration of the visa. The specific details about how much you need will be established by regulation.
• Documented proof that you own or rent a dwelling that meets the minimum habitability conditions required by regulation.
• Commitment to establish effective residence in Andorra for a minimum of 90 days per calendar year.
• Proof and maintenance of health and disability insurance coverage for the applicant in Andorra.
• Undergo the relevant medical tests in Andorra.

How to obtain approval from the Ministry of Economy of Andorra?

A crucial requirement, if not the most important, is to obtain a favorable resolution from the ministry responsible for the economy to be considered a person who does not require a specific geographic location and uses telecommunications and technology.

To achieve this, the digital nomad must comply with what is specified in the Digital Economy Regulation developed by Decree 212/2023, dated May 10, 2023. Specifically, the following documentation is requested from the applicant:

• Passport or ID card.
• Sworn declaration that the applicant does not require a specific geographic location to perform their work and uses telecommunications and technology, describing their work as thoroughly as possible.
• Any other document deemed appropriate to substantiate the application, such as employer certificates or company certificates confirming that the worker or freelancer can perform their work remotely.

This is a very relevant certificate and, given our experience, difficult to obtain, so we strongly recommend seeking professional assistance in preparing this documentation.

What are the benefits of this digital nomad visa?

Andorra has attracted thousands of entrepreneurs, digital nomads, and businessmen over the past decade who have been constrained by high and inflexible entry requirements (obligation to invest in the country, make a deposit in the AFA, pay to the CASS, reside more than 183 days, etc).

This new permit offers much easier and more flexible entry to the country for the following reasons:

• The digital nomad saves the deposit of 50,000 EUR in front of the Andorran financial authority.
• There is no obligation to establish a company to be a tax resident.
• There is no obligation to pay to the CASS (social security), but life insurance must be paid.
• The minimum stay requirement demanded by the Andorran authority is 90 days.
• Allows you to be a tax resident in Andorra if the digital nomad meets the requirements established in the IRPF law. How can I get it?

Andorra is positioning itself as an ideal destination for digital nomads.

With this new visa, the country offers a unique opportunity for those seeking a balance between work and quality of life. If you meet the requirements and are looking for a change, Andorra could be your ideal destination.

How can I change my tax residence to Andorra?

In general terms, tax residence is what will allow you to pay taxes in Andorra and this is much more complex than simply getting an administrative residence or green card.

A prior analysis of your personal situation carried out by tax experts from your country of residence or Andorra is key to avoid future problems.

If you are interested in changing your tax residence to Andorra, we recommend reading the report “The definitive guide to living in Andorra”. For any questions you can contact us without obligation.