Europe
Andorra: tax at a glance
One of Europe's lowest-tax jurisdictions. Personal and corporate income is capped at 10%, VAT sits at 4.5%, and there is no wealth, inheritance or gift tax.
Worldwide (residence-based)
Last verified
Ways to relocate to Andorra
The residency and citizenship routes that lead here, weighed against the tax picture above.
The taxes
- Personal income (top)
- 10%Progressive, at 0%, 5% and 10%. The first EUR 24k is exempt, and the 10% rate only applies above EUR 40k.
- Corporate income
- 10%
- Capital gains
- Portfolio gains are generally exempt for holdings below 25%. Property gains are taxed 1–15% on a sliding scale, and become exempt after 10 years.
- VAT / IGI
- 4.5%
- Dividends (WHT)
- 0%, since domestic dividends are exempt.
- Interest (WHT)
- 0%
- Royalties (WHT)
- 5%
- Social security (employee)
- 6.5%
- Social security (employer)
- 15.5%
- Wealth tax
- None
- Inheritance / estate
- None
- Property tax
- Only minimal municipal, or comú, taxes apply.
How the system works
- Tax system
- Worldwide (residence-based)
- Foreign income
- Taxed (worldwide)
- Taxes by citizenship
- No
- Exit tax
- No
- CFC rules
- No
- CRS
- Participating
A special regime for new arrivals
None needed. The ordinary regime is the incentive. IGI (VAT) is 4.5%, and corporate tax is 10%.
The rates below are indicative headline figures (top marginal, standard, and headline rates), reviewed 2026-07. Brackets, surcharges, and state, provincial or cantonal taxes vary. Treat this as a reference map, not advice.