Immigration law

Residence in Andorra

Residence in Andorra for work or expatriation – several choices exist

The newly applicable legislation on immigration matters in Andorra provides for new kinds of residence permits in order to increase the attractiveness of the Principality as a main residence.

Traditionally, there were two kinds of residence permits in Andorra

– on the one hand, active residence permits (residence and work): these are immigration permits for individuals who want to carry out a waged or unwaged professional activity in Andorra.

– on the other hand, passive residence permits (residence with no gainful activity): these are permits designed for individuals who do not want to carry out a professional activity in Andorra.

The old legislation also provided for situations of mixed immigration permits, aimed at students and those working in research.

The new law on immigration matters maintains the principal types of immigration permit, while offering the opportunity to foreigners with a certain standard of professional qualifications or recognised prestige, from a cultural, scientific or sporting point of view, to acquire the status of Andorran resident, as long as their activity is mainly overseas, i.e. they have limited professional activity in the Andorran market.

The concept of residence with no gainful activity

Anyone with no gainful activity who wishes to be resident in Andorra must fix their main residence and effectively live here for at least 90 days per year.

They cannot carry out any professional activity inside Andorra.

They can, however, carry out any activities necessary to manage their assets, specifically as manager of any companies in which they hold the equivalent of or more than 50% of the shares, if the position is unpaid.

Anyone wishing to be a resident with no gainful activity must invest at least 400,000€ in Andorran assets.

The concept of the professional with international scope

This kind of residence is aimed at individuals who do not have Andorran nationality and are willing to establish their residence in Andorra for at least 90 days a year, in order to carry out an activity on the following terms:

  1. a) The registered office or centre of the professional activity is located in Andorra.
  2. b) The professional with international scope must have at least one employee in the Principality of Andorra.
  3. c) The services provided by the professional must be aimed principally at non-resident individuals or legal persons in the Principality of Andorra. (85% of the services must be used outside Andorra).
  4. d) The holder of a residence permit for professionals with international scope must deposit 50,000€, interest free, at the Andorran National Institute of Finance (INAF) and another 10,000€, interest free, for each of his dependants.

The amounts deposited in guarantee at the INAF are returned if the residence permit is not renewed.

The concept of residence on the grounds of scientific, cultural and sporting interest

This type of residence permit in Andorra is aimed at persons with international prestige in the fields of science, culture or sport.

They must fix their main, effective residence in Andorra for at least 90 days a year.

They can continue to carry out their professional activities if these are mostly received by non-resident individuals or legal persons. (85% of the services must be used outside Andorra).

They must prove that their activity in one of the above-mentioned sectors enables them to support themselves and their family in Andorra without working, for as long as the permit lasts.

The holder of the residence permit on the grounds of scientific, cultural or sporting interest must deposit 50,000€, interest free, at the Andorran National Institute of Finance (INAF) and another 10,000€, interest free, for each of his dependants.

The amounts deposited in guarantee at the INAF are returned if the residence permit is not renewed.

Our law firm can help you with all the formalities needed to establish your residence in the Principality of Andorra, whether active or with no gainful activity, make applications to renew residence papers, find Andorran property or assets for investment through estate agencies or other specialised agencies, set up a registered office for carrying out an activity with international scope, draw up a dossier to present the activity to the Government, etc.

Lawyer Aleix Andorra & BP Economists