Spain's Golden Visa Ends April 3 2025 - but Tax-Efficient Residency Paths Remain

On January 3rd 2025, the Spanish government announced the end of the Golden Visa program.

The law terminating the program was published in the Boletín Oficial del Estado (BOE), and it will take effect on April 3, 2025. After this date, new applications for the Spanish Golden Visa will no longer be accepted. You can learn more about this decision by reading our article: "The Evolution of Spain's Golden Visa Program & the Abandonment of the Real Estate Investment Route".

The Spanish Golden Visa, also known as the Spanish Residence by Investment Program, is a type of residence permit designed to attract foreign investment into Spain, and was introduced in 2013 as part of Spain's efforts to stimulate economic growth following the financial crisis. Though current applications and approvals will remain valid, expatriates planning to move to Spain via the Golden Visa must act swiftly to submit their applications by the April 3, 2025 deadline or consider alternative visa options.

Alternative Ways to Secure a Visa to Support a Planned Move to Spain

The positive news is that there are numerous alternative avenues to secure a visa for those planning a move to Spain. Whether you're considering retirement, work, study, or starting a business, there are various visa options available to suit your needs and circumstances. Here are some of the choices you can explore:

Non-Lucrative Visa

Ideal for retirees or individuals with a passive income of at least €28,800 annually, this visa allows you to live in Spain for one year, with the possibility of renewing it every two years.

Digital Nomad Visa

Perfect for remote workers, freelancers, and digital nomads. This visa allows you to live and work in Spain for one year, with the option to renew every two years.

Work Visa

If you have a job offer from a Spanish employer, you can apply for a work visa. This visa allows you to live and work in Spain for the duration of your employment contract.

Study Visa

If you plan to study in Spain, you can apply for a student visa. This visa allows you to stay in Spain for the duration of your studies, with the possibility of extending it if you continue your education.

Entrepreneur Visa

For those looking to start a business in Spain, the entrepreneur visa is an option. This visa allows you to live and work in Spain while establishing and running your business.

Family Reunification Visa

If you have family members who are already residing in Spain, you may be eligible for a family reunification visa. This visa allows you to join your family members and live in Spain.

Schengen Visa

For short stays of up to 90 days within a 180-day period, you can apply for a Schengen visa. This visa allows you to travel and stay in Spain and other Schengen countries for up to 90 days.

Long-Term Residence Visa

If you plan to stay in Spain for more than 90 days but less than five years, you can apply for a long-term residence visa. This visa allows you to live and work in Spain for an extended period.

Beckham Law - Ongoing Tax Relief for Foreign Professionals Moving to Spain

Even though Spain's Golden Visa has ended, "Beckham Law" is still in effect; providing tax relief for foreign professionals relocating to Spain. Officially known as the Special Expatriates' Tax Regime (SETR), Beckham Law has undergone some changes and updates over the years. The most recent update was Royal Decree 1008/2023, which came into effect on January 1, 2023. This decree expanded the scope of the regime to include teleworkers, innovative entrepreneurs, highly skilled professionals engaged in specific training and research, development and innovation (R&D&I) activities, as well as administrators.

The Beckham Law offers preferential tax treatment to expatriates, allowing them to be taxed at a flat rate of 24% on their Spanish-sourced income for the first six years of residency in Spain. This can result in significant tax savings compared to the standard progressive tax rates, which can be as high as 45% in some regions.

Speak to AI Wealth

It's essential to evaluate all available options and consult with a professional advisor to understand the implications of the Golden Visa's discontinuation. and to determine how to best adjust your plans. For expert guidance tailored to your specific situation, consider reaching out to the professionals at AI Wealth. We can help you navigate these changes and identify the best path forward for your investment plans.