Beckham Law in Spain 2025: Eligibility, Application Process, and Tax Benefits Explained

Beckham Law in Spain: Complete Guide 2025

The Beckham Law, officially known as "Regime for Impatriates" (Régimen de Impatriados), is a special tax regime in Spain that allows eligible foreign workers to pay a flat 24% income tax rate instead of the standard progressive rates that can go up to 47% or higher. Named after footballer David Beckham who famously used this regime, it can provide substantial tax savings for expats moving to Spain, potentially saving thousands of euros per year compared to standard tax rates.

Eligibility Requirements for Beckham Law

To qualify for the Beckham Law, you must meet all of the following requirements: You must not have been a Spanish tax resident at any time during the 10 years immediately preceding the start of your work in Spain (recently extended from 5 years). You must have moved to Spain because of an employment contract, assignment, or business activity. You must not have moved to Spain to manage assets located in Spain that would entitle you to Spanish tax residency. The work must be carried out in Spain, either as an employee or as a director of a Spanish company. You must apply for the regime within six months of starting your work in Spain or arriving in Spain, whichever comes first. Your new tax residency must result from moving from a location that is more than 150 kilometers away from Spain. These requirements ensure that the regime is only available to genuine new residents who are moving to Spain for work purposes.

Application Process and Timeline

Applying for the Beckham Law requires submitting Form 149 (Modelo 149) to the Spanish tax authorities (Agencia Tributaria) within six months of starting work in Spain or arriving in Spain. The application must include: proof of employment contract or assignment letter, documentation showing you were not a Spanish tax resident in the previous 10 years, evidence that you moved from more than 150km away, and your tax identification number (NIE - Número de Identidad de Extranjero). The tax authorities typically respond within 1-3 months, and if approved, the regime applies from the date you became a Spanish tax resident.

Tax Benefits and Savings

The main benefit is the flat 24% rate on up to €600,000 of Spanish-source income per year, compared to progressive rates that can reach 47%+ for high earners. Income above €600,000 is taxed at the standard progressive rates. For example, if you earn €100,000 per year, you'd pay approximately €24,000 in tax under Beckham Law, compared to €30,000-35,000+ under standard rates, saving €6,000-11,000+ per year. The savings increase significantly for higher earners, making it particularly attractive for executives, professionals, and high-skilled workers.

Duration and Renewal

The Beckham Law applies for a maximum of six years, starting from the year you become a Spanish tax resident. After six years, you automatically transition to the standard progressive tax system. The regime cannot be extended beyond six years, so it's important to plan your tax strategy accordingly. Some people choose to leave Spain and return after a period to potentially re-qualify, though recent changes have made this more difficult.

Limitations and Considerations

Important limitations include: The flat rate only applies to employment income and certain business income from Spanish sources. Investment income, rental income, and other types of income are taxed separately at standard rates. You're taxed on worldwide income for Spanish-source employment income, but foreign-source income may have different treatment. You lose the regime if you don't meet the requirements or if the tax authorities determine you no longer qualify. You cannot combine Beckham Law with other special tax regimes. It's crucial to maintain proper documentation and ensure continued compliance throughout the six-year period.

When Beckham Law Makes Sense

The Beckham Law is most beneficial for: High earners (especially those earning €60,000+ per year) where the savings outweigh the loss of personal allowances and deductions available under standard rates, professionals and executives moving to Spain for work, individuals planning to stay in Spain for a limited period (less than 6 years ideally), and those who want simplified tax calculations and administration. It may be less beneficial for: Lower earners who would benefit more from standard personal allowances, those with significant deductions that reduce taxable income under standard rates, individuals planning long-term residence in Spain beyond 6 years, and those with complex income structures including investments or foreign income.

Using Our Spain Salary Calculator with Beckham Law

Our Spain salary calculator includes an option to calculate your net salary with Beckham Law. Simply select the "Beckham Law" option in advanced settings, enter your gross salary, and our calculator will show you the significant tax savings compared to standard progressive rates. This helps you make an informed decision about whether applying for the regime makes financial sense for your situation.

Disclaimer: Tax laws and eligibility requirements can change. Recent changes have extended the non-residency requirement from 5 to 10 years, making the regime more restrictive. Always consult with a qualified Spanish tax advisor familiar with expat tax situations to ensure you meet all requirements and to understand the full implications of the Beckham Law for your specific circumstances.