News & Insights

Andorra has established a legal framework for blockchain and cryptocurrencies with Law 24/2022, regulating the issuance and custody of digital assets. Companies must obtain a license from the Andorran Financial Authority (AFA). The country offers a favorable tax regime, with low taxes on cryptocurrency gains (up to 10%) and exemptions on transfers. Banks like MoraBanc also provide custody services. This has attracted investors and blockchain companies, positioning Andorra as a technological hub.

The UK is preparing for significant reforms to the taxation of resident non-domiciled (‘non-dom’) individuals, removing the concept of ‘domicile’ and replacing it with a residence-based tax system under the new Foreign Income and Gains (FIG) model.

These reforms, which will come into effect starting from 6 April 2025, will affect thousands of non-doms and their tax treatment in relation to their foreign source income and assets located abroad.

In our series "International Mobility - A legal and fiscal journey for families and businesses," we delve into the critical aspects that family businesses and private clients must consider when relocating to Andorra. This article focuses on tax considerations for those contemplating Andorra as their new home.

In the absence of bilateral tax treaties aimed at eliminating double taxation, each jurisdiction can apply its own rules according to domestic law. This may result in double taxation when the same taxpayer is taxed on the same income both in the country where the income is generated and in the taxpayer's country of fiscal residence.

Transferring residence to Andorra requires a careful and well-planned process.

First of all, it is essential to carry out an internal Due Diligence of the client's personal and professional situation.

Over the last decade Andorra has become one of the main destinations for elite sportspersons in Europe.

What factors make Andorra such an attractive destination for this group of residents?