Beckham Law in Spain: Tax Benefits for Expats in 2025
Spain’s Beckham Law offers a unique tax break for foreign professionals moving to Spain. If you qualify, you can pay a flat 24% tax rate on Spanish-sourced income—rather than Spain’s standard progressive rates that reach as high as 47%. And for many U.S. expats, this means serious tax savings.
In this guide, we’ll walk you through how the law works, who qualifies, how to apply, and how it fits into your broader U.S. tax obligations.
Quick Facts
- Flat tax rate: 24% on Spanish income up to €600,000
- Foreign income: Usually exempt from Spanish taxes
- Eligibility: Must move to Spain for work and apply within 6 months
- Duration: Applies for up to 6 years
- Limitations: No standard Spanish tax deductions, and some income types are excluded
What Is the Beckham Law?
The Beckham Law—officially called Spain’s Special Tax Regime for Inbound Workers—was introduced in 2005 to attract global talent. It got its nickname after footballer David Beckham became one of the first high-profile expats to benefit from it during his move to Real Madrid.
The law allows qualifying expats to be taxed as non-residents, even if they reside in Spain. That’s what makes it so valuable: instead of being taxed on all your worldwide income like most residents, you only pay tax on income earned inside Spain.
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Key Benefits of the Beckham Law
Here’s why so many expats are drawn to the Beckham Law—and how it could work in your favor:
- Flat 24% tax on Spanish income (up to €600,000/year)
- No tax on foreign income, including:
- Foreign rental income
- Dividends and interest from foreign accounts
- Capital gains from assets outside Spain
- No wealth tax on foreign assets
- Simple U.S. tax coordination, since the law avoids double taxation for most
Example:
If you’re earning €100,000 from a Spanish employer and also have rental income in the U.S., the Spanish tax is limited to the 24% on your employment income. The rental income? Not Spain’s concern.
Using the Beckham Law makes you ineligible for certain personal and family deductions. Thus, the law may not lower the tax burden for certain lower earners.
Who Qualifies?
The Beckham Law isn’t a free-for-all, but the eligibility requirements are relatively straightforward. Generally, you’ll qualify if you’re both a resident and a traditional employee. To be eligible for the Beckham Law, you must:
- Not have been a Spanish tax resident in the last 5 years
- Relocate to Spain for work—either via:
- A job offer from a Spanish company
- A transfer to a Spanish subsidiary
- A qualifying startup or research opportunity
- Do 85% of your work from within Spain
- Become a Spanish tax resident, which means spending 183+ days in Spain per year
Excluded groups:
- Professional athletes
- Most freelancers (unless tied to a Spanish company/startup)
- Anyone who owns more than 25% of the company employing them (unless startup exception applies)
Good news: Some remote workers and digital nomads may now qualify under recent updates if they meet “highly qualified” standards
Historically, freelancers were excluded from Beckham. However, Spain is updating laws to accommodate digital nomads. You may qualify if you have a Spanish client and can demonstrate that you’re a “highly qualified professional” providing services, training, or research for an emerging company.
Does My Family Qualify Too?
Yes—your spouse, dependent children under 25, and even dependent parents may be included in your application, provided they also meet residency and income criteria.
What’s Not Covered?
Not all income is eligible for Beckham benefits. Here’s what doesn’t qualify:
- Spanish capital gains
- Spanish inheritances and gifts
- Foreign income from a permanent establishment in Spain
- Income over €600,000, which is taxed at 47%
Also, you can’t claim many of the standard Spanish tax deductions, which may impact lower earners.
How to Apply for Beckham Tax Treatment (Step-By-Step)
Beckham is an elective tax treatment. Even if you qualify, you’ll have to apply to receive the benefits. Here’s how:
- Get a job offer in Spain or meet the criteria for remote/digital nomad work
- Apply for your NIE (foreigner ID number) through a Spanish consulate
- Receive (or provide proof you’ve applied for) a residence card
- Register with Spain’s tax office by submitting Modelo 030
- Submit Modelo 149 to opt into the Beckham regime
- Wait for approval, then share your status with your employer
Deadline:
You must apply within 6 months of either starting work in Spain or registering for Social Security—whichever comes first. Missing this window may disqualify you. The Modelo 149 approval can take up to two months, so gather your other documentation early.
Beckham applicants are sometimes rejected for not applying on time. Your Modelo 149 is due within six months of receiving your social security number or arriving in the country, whichever comes first.
What Happens After 6 Years?
Once your six-year Beckham window ends, you’re taxed like any other Spanish resident—on your worldwide income, under progressive rates that can climb up to 47%.
Is Spain a Good Place to Retire?
If you’re thinking beyond work and wondering whether Spain could be your long-term home—even into retirement—you’re not alone. Many expats start with a work relocation and later decide to stay.
But what happens after the Beckham Law ends? How does Spain treat retirees when it comes to taxes, healthcare, and financial reporting?
Explore our full Guide to Retiring in Spain to learn how retirement affects your tax status, whether your pension is taxed, and what you need to know about long-term planning.
What About U.S. Taxes?
If you’re a U.S. citizen, your global income still needs to be reported to the IRS. But don’t worry—several expat tax benefits can reduce or eliminate double taxation:
- Foreign Earned Income Exclusion: Allows expats to exclude up to $130,000 (in 2025) of foreign earned income from US taxes.
- Foreign Tax Credit: Allows expats to credit taxes paid to foreign governments against US tax obligations.
- Foreign Housing Allowance: Allows expats to credit a portion of foreign housing expenses from taxable income.
- Totalization Agreements: Treaties preventing expats from paying into two social security systems simultaneously.
Greenback can help you navigate both systems—no spreadsheets or surprises.
Contact us, and one of our customer champions will gladly help. If you need very specific advice on your specific tax situation, you can also click below to get a consultation with one of our expat tax experts.
Is the Beckham Law Right for You?
The Beckham Law is ideal for:
- High earners relocating to Spain
- U.S. expats looking to lower their overall tax burden
- Employees of Spanish companies, startups, or remote workers with Spanish clients
But it may not make sense if:
- You’re self-employed without ties to Spain
- Your Spanish income is below €20,000
- You need access to Spain’s personal tax deductions
Final Thought: Tax Benefits with Peace of Mind
The Beckham Law can be a game-changer—but only if you meet the right conditions and apply on time. Whether you’re relocating for work or embracing the digital nomad life, we’ll help you make sure your tax setup supports your goals.
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