The Beckham Law in Spain: requirements, deadlines and what it actually saves you

The Beckham Law in Spain: requirements, deadlines and what it actually saves you

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Taking a job in Spain raises one question very quickly: what your tax bill will look like. For a lot of expats, the answer comes down to one special rule — the special expat tax regime, commonly called the Beckham Law.

The idea is straightforward: instead of being taxed as a Spanish resident on your worldwide income, you are taxed like a non-resident on the income you earn in Spain, at a flat rate of 24% up to 600,000 euros with 47 percent applying beyond that threshold. For higher earners, the saving can be considerable.

The conditions are strict. In broad terms, you must not have been a Spanish tax resident in the five years before the move, your relocation must be linked to an employment contract or a director role, and the work must be carried out mainly in Spain. Recent reforms opened the door to digital nomads and some self-employed profiles.

Timing is the part people get wrong. You have to apply within six months of registering with Spanish social security. Let that window close and ver más the regime is lost for the whole assignment. Once granted, it applies for the year of arrival and the following five.

It does not suit every case. Where a large part of your wealth sits abroad, the effect on wealth tax and on the 720 declaration should be calculated before deciding. Running the numbers in advance avoids an expensive mistake.

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