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What does the ultimate modifications of the Beckham Law in Spain mean for you? - CPH Invest GmbH

Written by Christoph Albeck | Jul 22, 2023 4:00:00 AM

The Beckham Law (named after a British football player), also known as the Special Tax Regime for Foreign Workers, is a tax regulation in Spain aimed at attracting highly skilled professionals and investors to the country by providing them with favorable tax treatment. Under this law, foreign workers are subjected to a flat income tax rate of 24% for a period of six years, regardless of their income level (this is no tax advisory. There are more facts to consider.) Investors capital gains are treated favorable as well. The aim is to attract rich foreigners to Spain.

This law applies to individuals who meet certain requirements, such as being a new resident in Spain and having not been a resident in the country for the previous 10 years.

  • Beckham Law is used by many Germans to avoid high german taxes
  • It is a good way to lower you yearly tax bill without the need to emigrate into another culture
  • Beckham Law is extremely popular among the german population living in Mallorca
  • Beckham Law can be applied only for five to six years. Afterwards you will be treated like a Spanish regular resident.

You want to know more about Pros and Cons of the Beckham Law? Want to know why it is so extremely popular in the german population living in Mallorca? Schedule an appointment.