Characterised by a strong financial system, public safety, unparalleled privacy, and low taxation, Andorra is recognised as a unique natural environment. Its citizens, who benefit from all this great country has to offer, are right up there among the top countries with the highest life expectancy (84.2 years according to the WHO).
With a new economic openness, the country’s goal is to attract and encourage foreign investment. Foreign business owners are attracted to the advantageous tax system and social benefits, in addition to Andorra’s solid banking system and excellent quality of life.
New measures, including the following, allow the country to focus on enabling business owners to operate within the Principality and employ people in Andorra.
On October 2013, a modification of the law concerning the immigration was published (Decret legislatiu del 26-03-2014 de publicació del text refós de la Llei 9/2012, del 31 de maig, de modificació de la Llei qualificada d’immigració).
The two most significant changes are:
The creation of a new type of authorisation called “per compte propi” (self-employed) for investors who operate their businesses within the Principality.
The modification of the previous permit of passive residence, which provides different modalities (rentiers, international business owners, athletes, scientists etc.)
Also, with the aim of standardising the country internationally, the Principality of Andorra has launched a taxation system for companies (Llei 95/2010, del 29 de desembre, de l’impost de societats – Llei 17/2011, de l’1 de desembre, de modificació de la Llei 95/2010, del 29 de desembre, de l’impost de societats) and for individuals (Llei 5/2014, del 24 d’abril, de l’impost sobre la renda de les persones físiques).