What is being called an exodus from Dubai and other Gulf states because of security concerns is underway with Mallorca being one of the most popular destinations. Local real estate agents are already noticing an increase in demand for rental properties on the island from expats who are in Gulf states which have come under attack from Iran.
Helping this exodus and putting Mallorca and the Spanish mainland on pole position is the Digital Nomad Visa which offers qualified remote workers a flat 24 percent income tax rate on earnings up to 600,000 euros. The visa offers an initial three-year residency, which can be renewed for two more years and leads to permanent residency after five years.
It also allows families to move together, with spouses and children included in the application, according to the Spanish government.
According to Spanish property portal Idealista the British press states over 37,000 expats fled Dubai in recent days. Returning to the United Kingdom is not an option for affluent families. Heading back means the British tax authorities will be all too eager to pounce on you and cash in. High taxation in the UK has become unbearable for wealthy families following the new tax rules from last year.
Are you planning to move to Mallorca from the Gulf? Send us an email and we can help you. jmoore@majorcadailybulletin.es
The Digital Nomad Visa (or tax-free visa, as it is popularly dubbed) offers a wide range of tax benefits that surpass Golden Visas. Golden Visas did not have the slew of tax advantages that DNVs offer. The DNV is all about paying little to no tax, whilst living the high life in Europe. Unlike Golden Visas, you don't need to spend €500,000 to benefit from it all. No minimum investment is required.
Key reasons to apply for a Digital Nomad Visa in Spain, according to Idealista
Ultra-low tax – unmatched tax advantages. Don’t fancy paying much tax? This visa has you covered. No other visa in Spain offers its wide range of tax benefits. You only need to pay a flat tax rate of 24% on your gross earnings in Spain up to €600,000/year. Any assets held abroad go untaxed. Moreover, unlike standard Spanish taxpayers, you don’t even need to declare assets or rights abroad (no need to complete tax form 720). In plain English, you pay little to no tax on your income, and you are not required to declare or pay tax for assets held abroad.
Long duration. Clear rules, initially for 3 years, then works on a 3-year renewal, totalling 6 years. This visa has one of the longest durations available.
Fast-tracked. DNVs are granted by Madrid in under 3 weeks. No other visa is expedited as much. The red rug is rolled for you, cutting through all pesky red tape.
All the family is included. Your partner, your children (up to 25 years old), and even your parents may be included as dependents.
Right to work in Spain. Not only does it give full rights to work remotely in Spain to the main applicant, but it also extends the right to his dependents, either as freelancers or as employees pursuant to Law 13/2014 of International Entrepreneurs.
Unfettered access to the Union. Once you attain the DNV, it allows you and your family unrestricted access to the 27 Member States that assemble the Union.
Path to permanent residency – optional. The time spent leads to permanent residency (which lasts 10 years).
Path to Spanish citizenship – optional. Fancy a European passport that allows you access to 189 countries worldwide? The time spent leads to Spanish nationality after 10 years of continued and legal residency.