Andorra is a country recognized for its quality of life, thanks to a complete health and education system, and fair taxation. This has led to an increasing number of residents every year. However, it is convenient to know what you need to live in Andorra. That is why, from MCA, we show you what the Andorran residency requirements consists of and what requirements you need to access it.
What types of Andorran residency are there?
In Andorra, the Andorran residency system is essentially divided into three categories: active, passive and digital nomad. Here are the details of each of them.
Active residence in Andorra
Active Andorran residency in Andorra is ideal for those who wish to live and work long term in the country. Unlike passive residents, they must work and reside full time and are considered active members of the community. Although it is not necessary to stay 365 days, they are expected to spend at least 183 days a year to obtain tax resident status, benefiting from fair rates and other benefits not available to passive residents.
This type of Andorran residency requirements are the following:
- Birth certificate or passport copy.
- Police certificate (from country of birth and country of residence).
- Rental contract (no apostille required).
- Marriage certificate (apostilled only in case of family reunification).
It is essential to ensure compliance with these requirements and to present the corresponding documentation to formalize the application. In addition, they must be apostilled or legalized and authenticated, not older than three months.
Passive residence in Andorra
The particularity of the passive residence in Andorra is that, even if most of your income or economic activities take place outside Andorra, you can be eligible for the procedure.
This option gives you the opportunity to minimize your tax burden while enjoying an affluent standard of living. On the other hand, if you want to qualify, you must meet the following requirements:
- Criminal background check. You will need to present police certificates from your home country confirming that you do not have a criminal record.
- Proof of income and health insurance. Proof of stable income, which is equivalent to at least 300% of the Andorran minimum wage, together with private health insurance is required.
- Deposit of government bonds. To obtain passive residency, a mandatory investment of €47,500 in government bonds must be made.
- Age Requirement. Applicants must be at least 18 years of age.
- Proof of housing. The application must be supported by proof of housing, either by rental or ownership.
Digital nomad residence in Andorra
We live in the digital era and more and more jobs require only a laptop. That is why there are many people who want to live in Andorra in a different way, without ties. Below, we show you what working models you can choose if you want to live in this country as a digital nomad.
- Self-employed residency. By creating a company that promotes the digital economy and meets the requirements, you can apply for this residence. It is required to be in the country at least 183 days a year and pay the self-employed fee to the Andorran Social Security Fund (CASS).
- Residence for employees. It is oriented to those who wish to work for a foreign company while enjoying the quality of life in Andorra.
- Independent residence. This is the perfect option for freelancers offering services internationally. This regime allows you to invoice services globally and enjoy the benefits of residing in Andorra, providing the freedom to work independently.
- Executive residence or managing partner. This option is a hybrid that allows invoicing as an executive or self-employed through own companies, being an ideal option for entrepreneurs who wish to establish business in Andorra.
How can you increase the chances that an application to reside in Andorra will be accepted?
The reality is that many people choose to apply for passive, active or digital nomad residency in Andorra. However, they do not realize that they may encounter some hurdles along the way, such as the requirement to submit documentation in Catalan, the official language of Andorra.
The most advisable thing to do when moving to this country is to have the support of our team of professional advisors at MCA Assessors. We will guide you through the entire process to ensure that your application is successful and that you can move to Andorra without any difficulties.
In conclusion, Andorran residency has its requirements, but it is worth it. It is recognized for its quality of life and its favorable tax system as one of the best in Europe, in addition to offering three categories of residence: active, passive, and for digital nomads. At MCA Assessors we facilitate the application process and increase the chances of success for you to achieve your ideal future.
