{"id":8204,"date":"2025-12-02T16:27:47","date_gmt":"2025-12-02T14:27:47","guid":{"rendered":"https:\/\/winheller.com\/blog\/en\/?p=8204"},"modified":"2026-01-20T14:05:25","modified_gmt":"2026-01-20T12:05:25","slug":"tax-benefits-spain-beckham-law","status":"publish","type":"post","link":"https:\/\/winheller.com\/blog\/en\/tax-benefits-spain-beckham-law\/","title":{"rendered":"Tax Benefits When Moving to Spain: Making The Most of Beckham Law"},"content":{"rendered":"\n

For years, many German-speaking entrepreneurs<\/strong>, investors, and wealthy individuals have been considering moving to Spain<\/strong>. Regions such as Mallorca, Ibiza, and the Canary Islands are particularly popular, offering a Mediterranean lifestyle, high quality of life, and good infrastructure.<\/p>\n\n\n\n

This quickly raises the question of tax liability<\/strong>. Spain is not a classic tax haven: anyone who becomes a tax resident there must generally expect high income tax rates and extensive reporting requirements. This makes a special tax regime<\/strong> introduced by Spain several years ago and refined several times since then to attract qualified professionals and investors from abroad \u2013 the so-called Beckham Law<\/strong> \u2013 all the more interesting.<\/p>\n\n\n\n

What is behind the Beckham Law?<\/h2>\n\n\n\n

The Beckham Law is a special tax regime governed by Article 93 of the Spanish Income Tax Law. Originally introduced to provide tax relief<\/strong> for top international athletes such as David Beckham (who was playing for Real Madrid at the time), the scheme is now also open to other professional groups, such as executives, entrepreneurs, remote workers, and investors.<\/p>\n\n\n\n

Those who meet the requirements can be taxed as non-residents<\/strong> for up to six years<\/strong>, even though they are resident in Spain for tax purposes. This means that only income earned in Spain<\/strong> is taxed \u2013 with a few exceptions \u2013 at a flat rate of 24 percent<\/strong> up to an income of EUR 600,000<\/strong> per year. Income from abroad therefore remains untaxed in Spain.<\/p>\n\n\n\n

What specific advantages does Spanish tax law offer?<\/h2>\n\n\n\n

One major advantage is the flat-rate taxation<\/strong> of earned income. Instead of the regular progressive income tax, which can be as high as almost 50 percent in Spain, a fixed rate of 24 percent applies to earned income \u2013 up to a limit of EUR 600,000. Income above this amount is taxed at 47 percent<\/strong>.<\/p>\n\n\n\n

However, the biggest advantage for wealthy individuals who have sources of income outside Spain is certainly that only income earned in Spain is taxed<\/strong>. Income from abroad \u2013 such as from rentals, capital gains, or company holdings (interest, dividends, capital gains) \u2013 remains tax-free<\/strong>. Assets outside Spain are also not subject to Spanish wealth tax, which is particularly important for clients with extensive international investments.<\/p>\n\n\n\n

Would you like to receive such news directly to your mailbox every two months? Subscribe to our newsletter Private Clients Update \u2013 Assets | Foundations | Succession.<\/a><\/h4>\n\n\n\n

Finally, there is no obligation to submit Modelo 720, a complex declaration of foreign assets. This declaration is mandatory for regular tax residents. Errors or omissions can usually lead to severe penalties.<\/p>\n\n\n\n

Who can take advantage of the Beckham Law?<\/h2>\n\n\n\n

The regulation is aimed at individuals who move to Spain for professional reasons<\/strong> and become tax residents there. The following requirements apply, for example:<\/p>\n\n\n\n