Living as a digital nomad in Spain is amazing, and with the right info, dealing with digital nomad taxes in Spain 2025 can be too. Here you’ll find simple, practical tips to keep Hacienda happy and focus on what you love: your remote lifestyle.
When Do You Have to Pay Taxes as a Digital Nomad in Spain?
This is the million-dollar question. The answer is simpler than you think: If you live in Mallorca more than 183 days a year, you become a tax resident in Spain. That means you must declare all your income, from everywhere, to Hacienda.
But it’s not just about counting days. You can also be a tax resident if:
- Your family lives in Spain
- Your main business operates from Spain
- Most of your income is from Spain
Types of Digital Nomad Taxes You Must Pay in Spain
No.1 Digital Nomad Taxes: Spanish Income Tax (IRPF)
This is the main tax we all pay on our income. As a digital nomad, how you pay depends on your work type:
- If you’re employed by a foreign company:
- Declare as “employment income.”
- You’ll pay 19% to 47% depending on how much you earn.
- Your foreign employer will not withhold Spanish taxes. You must pay them to Hacienda yourself.
- Example: if a German company pays you €3,000/month net and you stay in Spain 183+ days, you must pay Spanish income tax at the end of the year.
💡 Important tip: If you plan to spend more than 6 months in Mallorca, save 25–30% of your monthly income to pay taxes. If you don’t, you might get a big tax bill you can’t pay.
If you are self-employed (“autónomo”)
- If you are self-employed (“autónomo”)
- You must register as an autónomo.
- You pay a monthly social-security autónomo fee (about €294/month).
- You declare your income as business activity income.
- You can deduct business expenses such as: coworking rent/home office (partially), internet and phone, computer equipment, software/tools, business travel, training, and professional insurance.
No.2 Digital Nomad Taxes: Wealth Tax (only if you have a lot of assets)
You only pay wealth tax if your net assets exceed €700,000. Most nomads do not reach this level, so you likely won’t worry about it.
No.3 Digital Nomad Taxes: VAT (IVA)
If you do business with Spanish companies, you must add 21% VAT to your invoices. That 21% goes to Hacienda every quarter.
How does the annual tax returns work for Digital Nomad Taxes?
Every year, usually between April and June, you file the income tax return. Think of it as a summary of what you earned and spent.
Basic steps:
- Gather all your income for the previous year.
- Add deductible expenses (if you’re self-employed).
- Calculate how much you owe or the refund coming to you.
- File the return online or with the help of a gestor. (If you read this blog often, you know I recommend hiring a local gestor — Spanish paperwork is long and confusing.)
If you are a citizen of a European Union country, in addition to the basic steps, to pay your digital nomad taxes you will need to:
- Get an NIE (Foreign ID Number).
- Register at your town hall (empadronamiento) in Mallorca.
- Request a digital certificate to do online procedures.
- Can a gestor do this? Yes — a local gestor can help with NIE and empadronamiento for about €150–300.
If you are a United Kingdom citizen (post-Brexit), in addition to the basic steps, to pay your digital nomad taxes you will also need to:
- Residence visa or work permit (if needed).
- NIE (mandatory).
- Empadronamiento.
- Apply for a TIE (foreign ID card) if you plan to stay more than 6 months.
- Can a gestor help? Yes, but you will likely need an immigration lawyer, costing €500–1,500 depending on your case.
If you’re a citizen of a Latin American country, in addition to the basic steps, you’ll need to do the following to manage your digital nomad taxes:
- Appropriate visa (e.g., self-employment visa, Digital nomad Visa.).
- NIE and empadronamiento.
- Fiscal residence certificate from your home country (for the first year).
- Check if there is a double-taxation agreement with Spain.
- Can a gestor help? Yes — especially for the self-employment visa. Cost €600–1,200.
If you are a US citizen, in addition to the basic steps, you will need to do the following to pay your digital nomad taxes:
- Suitable visa (often self-employment, investor or digital nomad visa).
- NIE and empadronamiento.
- You must file taxes in both countries (Spain & USA).
- File FBAR if you have more than $10,000 in foreign accounts.
- File Form 8938 for foreign assets (if applicable).
- Can a gestor help? A gestor can register you as autónomo (€600–1,200), but you’ll need a US-Spain tax accountant for cross-border filings, which can cost €800–2,000/year.
💡Tip: The US has rules to avoid double taxation, so usually you do not pay the same tax twice.
Important dates for digital nomad taxes
| 📅 During the Year | 📅 Key Monthly Dates (Self‑Employed) |
| January–March: Quarterly estimated payments (if you’re self-employed) April–June: Annual income tax return July–October: Second quarterly payment October–December: Third quarterly payment | Day 20: Freelancer social security payment due Day 20: Quarterly VAT payment (January, April, July, October) Day 20: Quarterly IRPF payment (income tax) |
Tools to manage your digital nomad taxes
| 📱 Official Apps & Websites | 🛠️ Private Tools |
| AEAT Electronic Office, also called Sede Electrónica de la AEAT (hacienda.gob.es) Hacienda mobile app Renta WEB (PADRE/MADRE) to create draft tax returns | TaxDown (app that helps you prepare your tax return) Contasimple (for self-employed / freelancers) |
