The recent Law 28/2022, dated December 21, provides for substantial amendments regarding the special regime applicable to workers posted to Spanish territory (better known as Beckham Law).
Among other novelties, it contemplates a relaxation of some requirements for its application and benefit, and, in addition, it broadens the cases in which it may be applicable.
The Beckham Law makes it possible for employees or directors of companies located in Spanish territory to be taxed as non-residents, provided that certain requirements are met. These individuals will be taxed on their income at a fixed rate of 24% (45% of €600,000). This implies a substantial reduction with respect to the variable rate foreseen for resident taxpayers.
The new regulation relaxes the requirement that the displaced person must not have resided in Spain for the last 5 years.
In addition, it also contemplates that the posting to Spanish territory takes place in the first year of the application of the regime or in the previous year.
The application of the tax benefits provided by the Beckham Law is extended to those employees who have an international teleworking visa.
As for displaced corporate administrators, the application of the regime for them is made more flexible. Since if initially a minimum participation in the capital of 25% was required, these minimum percentages will only be required for the administrators of shareholding companies.
Likewise, the new law broadens the assumptions as regards those persons who carry out activities on their own account. It will be applicable to those persons who will carry out an entrepreneurial economic activity, although it is required that it be an innovative activity together with a favorable report issued by the entity ENISA. The displaced person, considered highly qualified, will also be eligible for these tax benefits, when he or she provides services to emerging companies, carries out training, research, development, or innovation activities, and obtains 40% of the total of his or her business, professional, or work income for them.
It also contemplates that spouses and children under 25 years of age (with no age limit for cases of disability) may avail themselves of the tax benefits provided by the Beckham Law, as long as the rest of the requirements provided by law are met.
Finally, the exemption of certain remunerations is provided for.
