Living in Spain and working for a foreign company: which requirements and laws should you consider in 2026?

Many professionals choose Spain for its climate and services but are unsure about how to declare their foreign salary.

At Fotocasa, we explain in simple terms what the regulations say about tax residency, how to apply for the new visas, and what options exist for Social Security contributions. In this guide, we will analyze the deadlines, the required documents, and the advantages of special regimes such as the “Beckham Law”.

What is the main factor that determines whether you should pay your taxes in Spain or in your country of origin?

What determines where you should pay your taxes? Tax Residency

The main criterion that establishes tax liability is tax residency. A taxpayer is understood to have their habitual residence in Spanish territory when they stay in Spain for more than 183 days during the calendar year. For this calculation, sporadic absences are counted, unless the worker proves their tax residency in another country.

In addition to time, there are other factors that determine this residency:

• Center of interests: That the base of their economic activities or interests, directly or indirectly, is located in Spain.

• Family presumption: Residency is presumed if the spouse (not legally separated) and dependent underage children habitually live in Spain.

What permits do you need to live in Spain while teleworking depending on your origin?

EU citizens may reside in Spain without the need for special permits, while non-EU citizens who wish to live in Spain and work in another country will normally have to resort to other visas, such as the Digital Nomad Visa.

Important: buying a house in Spain does not automatically grant you tax residency.

What permits do EU/EEA/Swiss citizens need to live in Spain?

Citizens of the European Union have the right to reside and work in Spain without special permits thanks to free movement agreements. However, if the stay exceeds 3 months, it is mandatory to register with the Central Register of Foreign Nationals.

Living in Spain as a non-EU citizen: how to apply for the Digital Nomad Visa?

Professionals from outside the European Union who wish to live in Spain while working for a company abroad can apply for the international teleworking residency as long as their work activity is 100% remote. This authorization allows them to reside in Spain while working for companies located outside the national territory.

To be eligible for this visa, the applicant must meet the following profiles and requirements:

1. Qualified professional profile: It is necessary to provide a university degree, prestigious vocational training, or prove a minimum professional experience of three years in similar roles.

2. Work seniority: An employment or professional relationship with the foreign company must be demonstrated for at least three months prior to the application.

3. Company authorization: The company must certify that it allows the worker to perform their duties remotely from Spain.

4. Economic requirements for the Digital Nomad Visa: Regulations require demonstrating solid financial solvency to guarantee the maintenance of the worker and their family in the country. Monthly income must represent 200% of the Minimum Interprofessional Wage (SMI), which is equivalent to €33,152 per year for the holder in 2026.

What is the maximum amount of time I can stay in Spain in 2026?

How is my income taxed if I reside in Spain but work for a foreign company?

As a general rule, if your tax residence is in Spain, you will have to pay taxes in Spain even if your company is abroad. However, there are some specific regulations and agreements for these types of situations, such as the famous Beckham Law and Double Taxation Agreements.

What is the “Beckham Law” and how does it help remote workers?

The Special Regime for Impatriates, known as the Beckham Law, is a tax incentive in force in Spain since 2004 to attract international talent. It allows individuals who move their residence to Spain to be taxed as non-residents, applying a fixed rate of 24% on the first 600,000 euros of annual income, instead of the progressive IRPF rates that can reach 47%.

Requirements and who can benefit from the “Beckham Law”

This benefit is aimed at workers, qualified professionals, and entrepreneurs who move to Spanish territory for work reasons. The requirements to apply for it are:

• Not having been a resident: The applicant must not have had tax residence in Spain during the five years prior to the move.

• Duration: It applies during the year of the change of residence and the five following tax periods.

• Excluded non-residents: Those with income derived from permanent establishments in Spain or professional athletes cannot benefit from this regime.

What are double taxation agreements and how do they work?

The double taxation agreements are bilateral agreements signed between two countries to prevent the same income from being taxed by two different tax administrations. These international treaties define which state has the priority to collect taxes on a worker’s salary, ensuring legal certainty.

In practice, if you reside in Spain but your company is in another country, the agreement establishes that you will not pay income tax twice for the same money. Spain currently has double taxation agreements signed with more than 100 countries to facilitate international mobility.

Is it mandatory to be registered with Social Security if your company is not in Spain?

Yes, it is mandatory to be registered with the Spanish Social Security system if you reside and carry out your activity in Spain, regardless of whether the company is foreign. By performing your work in national territory, you fall within the Spanish system to guarantee your labor rights and avoid legal sanctions.

According to the regulations in force as of May 2026, working without being registered is an illegal practice that carries severe penalties for both the company and the employee. To comply with this obligation, there are mainly two ways depending on the company’s involvement:

• Foreign company representation: The company registers with the Spanish Social Security before starting the activity and appoints a legal representative residing in the country to manage the contributions.

• Registering as Self-employed (RETA): This is the most common way. If the company has no headquarters or representative in Spain, the usual alternative is for the worker to register as self-employed and invoice their services abroad.

• Employer of Record (EoR): An intermediary Spanish entity is used to legally hire the worker under Spanish labor regulations, taking over the management of payroll and Social Security.

If you are going to spend more than 183 days in Spain, assume that you will be a tax resident. The best way to optimize your salary is to apply for the Beckham Law before 6 months have passed since your registration with Social Security.

Moving to Spain with your pet? A step-by-step guide to procedures and regulations in 2026

In 2026, the Digital Nomad Law has established itself as the fastest route for qualified non-EU citizens, but it requires a strict financial solvency of €33,152 per year.

Verify your nationality, confirm that your company allows 100% remote work, and check the Double Taxation Agreements between Spain and your country of origin to avoid paying twice.

Are you thinking of moving to Spain? In this article, we explain how to apply for your NIE step by step.