Andorra is a tiny country lies between Spain and France nestled in the Pyrenees mountain. It is well known for its tourism, particularly skiing during winter and cycling during summer, and for its duty-free shopping. About 10 million people visit Andorra each year.
The main economic driver of Andorra is its tourism, financial institution, duty free shopping and tobacco cultivation. It’s not a tax-haven but a tax friendly jurisdiction. There are not capital gains, inheritance or sales tax. This makes it ideal base for an international business. Non-residents are only taxed on their income sourced from Andorra.
According to the Lancet’s 2017 Global Burden of Disease publication, Andorra is the best country in the world when it comes to quality and access to its healthcare system. It ranked better than countries like Switzerland, Norway and Australia, which are widely known for their progressive systems.
Andorra’s health insurance system, Caixa Andorrana de Seguretat Social (CASS), covers the majority of most healthcare costs. As a few examples, the system covers the following percentage of the stated costs:
- 75% for a medical or dental appointment,
- 90% of hospital visits and
- 100% of the costs of giving birth
RESIDENCE PERMIT
AT A GLANCE
Investment from
EUR 400,000
Processing time
2 months
Physical Presence
90 days per year
Time to Citizenship
20 years
Residence Tax
10%
Visa Free Destination for Citizen
168 countries
Benefits
- Visa free entry to France and Spain
- Getting visa to the Schengen area, UK, USA and Canada under an expedited and simplified procedure. Schengen visa could be issued as quick as within a day, while visa for the other countries are issued in a few days.
- Tax friendly jurisdiction: maximum 10% on income tax, no tax on wealth, inheritance, profits and dividends from a holding. VAT is only 4.5%.
- Andorra is better in keeping data about its residents. Local banks do not report foreign investors’ accounts to other countries’ tax authorities.
- Excellent healthcare systems due to the high insurance coverage
- Multilingual education: students are exposed to Catalan, French, English and Spanish at schools.
