Residences

Andorra immigration law amendments

By
Daiana Diaz Custodio
on
September 17, 2022

Relevant changes in the rules for residences

Andorra immigration law amendments

Imminent changes in the Andorran immigration law

The Government of Andorra, through the President of the Government, Mr. Xavier Espot, has announced in the political orientation debate 2022, among many other measures and based on the latest economic data, the will of the Government to modify by amendment the immigration law of Andorra to rationalise the capacity of the country and to stop the uncontrolled increase in property prices, which entails measures that will affect passive residences and the active residence for self-employment.

The two most relevant changes in immigration rules will consist of:

Residence permits without a work permit (passive residence), require a minimum investment in Andorran assets of €800,000 instead of the current €400,000.

For residence permits with a permit to be self-employed (active residence), change the current guarantee from €15,000 to €50,000.

Given that the government has a large majority to approve this type of measure, Fintax expects the regulation to be approved very soon. What is also clear to us is that in no case will the measure affect those who have already started immigration procedures before the rule comes into force.

I leave you the link to the document published on the Consell General's website and I transcribe verbatim what the President said about it:

"In the same way, we in the Government believe that in the current context we should be even more demanding when choosing the profile of the people who come to reside in Andorra without working or for self-employed activity. For this reason, we have agreed with the parliamentary groups of the majority that, also by way of amendment, the economic investment or deposit to be made by passive residents and self-employed residents who decide to settle in Andorra should be substantially increased: from 400,000 to 800,000 euros in the first case - with limitations when the investment is made in real estate so as not to add more tension to the housing market -, and from 15,000 to 50,000 in the second case".

In conclusion, this modification to the requirements for transferring residence to Andorra responds to the substantial increase in the number of immigrants as a result of the increase in tax pressure from EU countries as a consequence of the crisis derived from COVID 19.