UPDATES THAT WILL BE INTRODUCED BY THE FUTURE “START UPS” LAW ON THE IMPATRIATES TAX REGIME

The future «Start Ups» Law, which has already passed the first-step of the approval by the Spanish Parliament and that now needs the approbation by the Senate, introduces important modifications in regards to the Special Tax Regime for those workers who have been posted to the Spanish territory (onwards, impatriates).

 

What’s new in the future law:
  • It facilitates the fulfilment of some requirements and includes a few options in order to attract entrepreneurs and digital nomads.
  • One of the biggest changes is the reduction of non-residence period in Spain prior to the year of transfer that goes from ten to five years.
  • Also, so far the reasons that used to justify the displacement only were physical transfers due to the beginning of an employment relationship or the acquisition of the status of company director (with participation to the share capital of less than 25%).
  • Besides, the new text of the Law, aiming to attract the “digital nomads», contemplate the case of work activity provided remotely (telework) by the exclusive use of IT and telematics systems.
  • Entities’ directors are also allowed whatever their participation to the share capital is, whilst the limit of 25% on the share capital is kept for company’s directors. It also introduces the possibility to carry out an entrepreneurial activity (innovative with special economic interest for Spain).
  • Finally, it will allow to extend the application of the special regime for impatriates to the spouse and children under 25 years of age (or any age if they are disabled) whom move with the taxpayer or will do so afterwards but within the year in which the taxpayer pays for the special tax regime.

 

If you are interested in Start Ups or in the news about them, do not hesitate to contact us. Our team will inform you about the tax regime for impatriates in the new future law.

THE GOVERNMENT ELIMINATES THE «BEG VOTE» FOR SPANISH EXPATRIATES

On October 4, 2022, Organic Law 12/2022 came into force, which amends Organic Law 5/1985, of June 19, 1985, on the General Electoral System, which, since 2011, established the obligation of Spaniards living abroad to request or beg to vote.

 

Before the aforementioned reform, expatriate nationals had the obligation to «beg» to be granted the right to vote, generally to an electoral authority in their place of residence.

The limitation, which came into force in January 2011, raised several controversies, linked not only to the inconsistency of the obligation to request what is a constitutional right recognized to all citizens, but also derived from the cumbersome bureaucratic procedure that this request entailed: first of all, the short period of 25 days from the date of the convocation of the elections and the absence of a clear and unified procedure regarding the request for requesting the right to vote.

 

As a result of this reform, Spaniards abroad will receive the necessary documentation ex officio, by the Provincial Delegations of the Electoral Census Office corresponding to the address of registration of each person of Spanish nationality registered in the census of resident-absentee voters living abroad.

Likewise, the deadline for the deposit of the ballot in the ballot box is extended from 3 to 7 days and the possibility of downloading the ballot paper telematically is introduced, which will allow considerably shortening the deadlines for sending the documentation.

This is, as can be understood, a great step forward towards the debureaucratization of the system of voting from abroad, with the aim of facilitating the exercise of this right by all expatriate Spaniards.

 

If you are interested in how the new law on «beg» voting affects you, do not hesitate to contact us. Our team will inform you about the change made by the Spanish government for Spanish expatriates.

 

RIGHT TO SPANISH NATIONALITY IN THE LAW OF DEMOCRATIC MEMORY (EIGHTH ADDITIONAL PROVISION)

Law 20/2022, of October 19, 2002, on Democratic Memory has been published in the Official State Gazette. The Law enters into force the day after its publication.

The Eighth Additional Provision of the Law of Democratic Memory, on the acquisition of Spanish nationality, offers the possibility of applying for nationality to:

  • Those born outside Spain of father or mother, grandfather or grandmother, who had originally been Spanish, and who, as a consequence of having suffered exile for political, ideological or belief reasons or sexual orientation and identity, had lost or renounced Spanish nationality.

 

  • The sons and daughters born abroad of Spanish women who lost their nationality by marrying foreigners before the entry into force of the Constitution of 1978.

 

  • The sons and daughters of legal age of those Spaniards to whom their nationality of origin was recognized by virtue of the right of option in accordance with the provisions of the present law.

 

It should be noted that the new Law does not have an age limit for applicants. Only that applicants for Spanish nationality will have two years to complete the process, starting on October 20, 2022, with the possibility of extending one more year.

 

How can we help you?

If you are interested in applying for Spanish nationality, do not hesitate to contact us. Our team will inform you and will apply for the procedures to obtain the Spanish nationality.

END OF THE COVID PASSPORT AND THE FORM TO SPAIN

The Ministry of Health has eliminated the obligation to present the COVID passport and the traveler’s form to passengers entering Spain by plane or ship.

The elimination comes into force today, Tuesday, September 20, from 00:00. The resolution, published on Monday, September 19, modifies the resolution of April 1 on the sanitary controls to be carried out at the entry points of Spain.

 

Why has it been modified?

The Ministry has considered it appropriate to apply the modification in order to favor the normality of international mobility with the least impact on public health, since the General Directorate of Public Health considered it convenient to modify some aspects of the previous resolution.

 

Spain Travel Health unnecessary

The application required passengers to complete before departure, as a responsible declaration, the health control form through the App or the web.

After validating the document, the App generated an individual Qr for each traveler that had to be presented to the transport company.

Section 9 of the resolution, where cruise-type passenger ships making international voyages and sailing through territorial sea waters will not have to comply with the conditions previously applied, is also left without effect.

 

If you have any doubts about this, you can contact us and our team specialized in internationalization will advise you and give you more information about the entry restrictions to the Spanish state.

REFORM OF THE LAW ON FOREIGNERS

On August 16, 2022, the new Regulation of the Organic Law 4/2000, on the rights and freedoms of foreigners in Spain and their social integration, came into force. The reform aims to simplify and streamline the hiring of foreigners and facilitate the attraction of international talent. The construction of multicultural teams in companies helps internationalization processes

Main novelties introduced:

  1. Broader catalog of occupations that are difficult to cover to facilitate the hiring of foreigners in Spain
  2. Reduced deadlines to encourage the hiring of foreigners in the country of origin.
  3. Longer renewal period for Residence Cards (T.I.E.)
  4. Facilities for foreigners to obtain a self-employment permit
  5. Student visas will allow foreigners to work automatically, for longer hours and without geographical limitations.
  6. Elimination of the previous 3-year time limit required to change the student visa to a work permit.
  7. Improvements in the requirements necessary for family reunification.
  8. Major changes in labor and social roots.
  9.  Facilities for family members of Spaniards to settle in Spain.
  10. Creation of the new figure of «arraigo» for training purposes.
  11. The renewed work permit will allow the foreigner to work both as an employee and self-employed person.

 

From Expat Feliu we can accompany you in the design of your impatriation policies and give you comprehensive advice in the areas of migration, labor, tax and everything related to the needs of relocation and landing of foreign workers to our country.

CHILE ADHERES TO THE MADRID SYSTEM

On April 4, 2022, the Government of the Republic of Chile deposited its instrument of accession to the Madrid Protocol, thus becoming the 111th member of the Madrid System.

The Republic of Chile becomes the most recent Southern Cone country to join the Madrid System, which currently covers 127 countries.

From now on, trademark owners in the Republic will be able to start using the Madrid Protocol to protect their marks in the other 126 territories of the System, by filing a single international application and paying a single set of fees.

 

The entry into force of the Madrid Protocol comes at a time of high demand for priority rights in Chile. The first half of 2022 closed with more than 28,478 trademark applications.

Chile’s accession further strengthens the Madrid Protocol’s position as a fundamental component of trademark protection on a global scale, offering a practical and more cost-effective solution to trademark owners around the world and, from now on, in the Southern Cone.

 

In addition, it doesn’t require the services of a representative in each destination country to enter the respective processing.

The application can be made in Spanish, which avoids incurring translation costs to third parties.

 

For more information about Chile or the Madrid Protocol, please contact us and our experts in the field will not hesitate to answer your questions.

 

EB-5: PERMANENT RESIDENCE PERMIT IN THE USA

What is the EB-5 Green Card in the USA?

It is a special processing modality of Green Card (permanent residence permit in the USA) for those foreign applicants whose intention is to invest in «a new company»

Who can apply for this type of permanent residence in the USA. And what are the requirements to meet?

In order to apply for a Green Card under EB-5 processing, the following subjective and objective requirements should be taken into account:

  • As for the profile of the applicants, it will be that of a foreign investor and their dependents. Including in this sense spouses and unmarried children under 21 years of age. It is important to highlight that it is not an essential requirement that the applicant has previously obtained a visa in the USA.
  • As essential objective requirements to be able to apply for the Green Card EB-5, are:
    • Make an investment in a commercial “new company” in the USA. The amounts for investments today are:
      • Private company at USD 1,050,000
      • Areas considered highly complex and rural areas USD 800,000

Investments by foreign applicants made in bank funds or for the acquisition of real estate will not be taken into account.

  • Plan to create or retain a minimum of 10 permanent, full-time jobs for qualified American workers. Thus accrediting the creation of employment, directly or indirectly, depending on the type of «new company» and the corresponding investment.

 

How can we help you from Feliu N&I?

At Feliu N&I we offer advice and support: full legal, tax and labor throughout the process of processing and obtaining the EB-5 permanent residence permit in the USA, hand in hand with our local collaborators.

Our professionals will help you plan your strategy and analysis of investment possibilities and different applications of the «new company» concept in the USA. All this, within the legal framework and criteria of the competent US authority.

Also, after obtaining your permission, if you need our advice later, Feliu N&I has Relocation services and international tax advice at your disposal, to make both your business and personal project come true in the U.S.A.

If you have any questions, contact us and we will contact you as soon as possible.

CAN YOU CLAIM UNEMPLOYMENT BENEFITS IF YOU WORK IN THE UNITED KINGDOM AND WANT TO RETURN TO SPAIN?

One of the measures that Spain has adopted to facilitate the return of nationals living abroad is the possibility that they can access the same benefits recognized to nationals living in Spain, within a framework of equal rights, recognizing the right to compute in Spain the years contributed in another country.

In order to be able to access the different benefits provided by the Law, such as retirement, disability or unemployment. As regards the latter, it will be sufficient to accredit, together with other requirements, the return to Spain from another country, since this situation in itself is part of the legal causes of unemployment required by the Law.

REQUIREMENTS:

In particular, the Spanish citizen once returned to Spain from the United Kingdom and in the case of not finding an employment activity, may apply for unemployment benefits, provided that he/she meets certain requirements required by Law:

  • To have Spanish nationality;
  • Be in a legal situation of unemployment (for example: dismissal, termination of contract, cessation or simply return from abroad);
  • Be registered as a job seeker, remain registered while receiving the benefit, be available to actively seek employment, comply with the activity commitment;
  • Have paid contributions in Spain for a minimum period of 360 days within the six years prior to the date of emigration, and that these contributions have not been taken into account to access a previous benefit.
  • Not to be receiving another similar benefit in another country;
  • Not to have reached the ordinary age required in each case to access the retirement benefit, unless it is not possible to access it because the required contribution period has not been reached
DURATION AND AMOUNT:

The duration depends on the contributions made within the 6 years prior to the date of emigration, provided that they were not taken into account for a previous benefit.

Table

The daily amount of the unemployment benefit during the first six months is 70% of the regulatory base (calculated according to the occupational contingency bases of the last 180 days of contributions, except for overtime), and 50% from day 181 until the end of the benefit.

WHEN AND WHERE TO PROCESS IT:

It is important to take into account that the registration as a job seeker in the corresponding employment office by domicile, within fifteen working days following the date of return from abroad (it is advisable to provide the return ticket or other document that justifies it).

WHAT CAN WE DO FOR YOU?

If you have any doubts about this, you can contact us and our team specialized in internationalization will advise you and give you more information about applying for unemployment benefits if you have worked in the UK and want to return to Spain..

NEW REQUIREMENTS AND CONDITIONS FOR ENTERING SPAIN DUE TO COVID-19

On Saturday, May 21, 2022, Order INT/452/2022, of May 20, 2022, was published in the BOE, amending Order INT/657/2020, of July 17, 2022.

As of May 21, 2022, all foreigners will be able to enter Spain, regardless of the reason for their trip, if they are in possession of one of the following three certificates:

 1. Under 12 years of age, they do not need anything.

     2. Over 12 years of age, they will need:

  • VACCINATION CERTIFICATE. Certificates issued by the competent authorities of the country of origin will be accepted from 14 days after the date of administration of the last dose of the complete vaccination regimen, provided that no more than 270 days have elapsed since the date of administration of the last dose of the complete vaccination regimen. The certificate of vaccination with the complete vaccination schedule for minors under 18 years of age does not have an expiration date.

 

  • CERTIFICATE OF DIAGNOSIS. Those with negative results will be accepted, whose sample collection has been obtained within 72 hours prior to departure to Spain in the case of nucleic acid amplification tests or within 24 hours prior to departure to Spain in the case of rapid antigen tests.

 

  • CERTIFICATE OF RECOVERY. Recovery certificates issued by the competent authority or by a medical service at least 11 days after the first positive NAAT or rapid test will be accepted as valid. The certificate shall be valid for 180 days after the date of the first positive result.

 

In addition to any of the aforementioned certificates, those travelers who do not have a European Union COVID Digital Certificate or equivalent must complete a health control form prior to departure.

 

If you have any doubts about this, you can contact us and our team specialized in internationalization will advise you and give you more information about the entry restrictions to Spain.

 

 

DUAL NATIONALITY: SPANISH AND FRENCH NATIONALS MAY ACQUIRE DUAL NATIONALITY

On March 29, 2022, the Nationality Agreement between the Kingdom of Spain and the French Republic was published in the Official State Gazette (BOE). It entered into force on April 1, 2022, and will be fully effective in both legal systems.

  1.To whom does the present Nationality Agreement between the Kingdom of Spain and the French Republic apply?

Spanish citizens residing in France and French citizens residing in Spain may acquire the nationality of the country in question without renouncing their citizenship of origin. It should be borne in mind that Art.3 of the aforementioned Agreement reflects its retroactive effects, stipulating that those citizens who have had to renounce their nationality of origin automatically -before the validity of the present Agreement- may avail themselves of their right to recover their nationality of origin from the moment they request it.

 

   2.Will the Hispanic authorities demand requirements different from those ordinarily contemplated for the acquisition of Spanish nationality by residence?

In spite of the exceptionality and great progress of the Kingdom of Spain, with the present Agreement of nationality with the French Republic, it does not mean that the procedure of acquisition of the Spanish nationality is modified or made more flexible as far as its requirements are concerned.

In relation to the above, French citizens residing in Spain must prove a legal, continuous and immediate residence, prior to the application, for a period of not less than 10 years in Spanish territory; among other additional requirements. Likewise, the good civic conduct of the applicant and his or her degree of integration in Spanish society must be justified, as indicated in the Spanish Civil Code.

 

  3.What type of recovery procedure should Spanish citizens residing in France who have had to renounce their nationality of origin follow?

By virtue of the Instruction of March 31, 2022, of the General Directorate of Legal Security and Public Faith, by which the criteria for the application of the nationality agreement between the Kingdom of Spain and the French Republic are agreed upon (hereinafter, Instruction of 31/03/2022); Spaniards whose nationality of origin they have had to renounce due to acquiring French nationality must take into account the following:

  • The temporary requirement of residence in Spanish territory will not be mandatory.
  • A Declaration of the applicant must be carried out, before the Civil Registrar or before a Notary, in which it is put of relieving its will to recover the Spanish nationality.
  • Documentary proof of his previous condition as a Spanish national and of his current status as a French national.
  • Depending on the mechanism used to obtain the certificate of manifestations of the interested party, proof of the domicile of the latter in one or the other place.

 

As regards the authorities and/or bodies competent for the processing of the recovery of Spanish nationality, in accordance with the Instruction of 31/03/2022, it is worth bearing in mind the Instruction of 16 September 2021, of the Directorate General for Legal Security and Public Faith relating to the DICIREG computer application in the various Civil Registries, on the occasion of the present coexistence of application management procedures present in the competent offices.

 

   4.What do we offer you from Feliu N&I?

At Feliu N&I our immigration consultants will provide you with the necessary advice and support in your immigration procedures, under the confidentiality and agility restrictions that these procedures require.

If you need more information or advice on the subject in question, do not hesitate to contact us and our team specialized in internationalization will advise you and give you more information about the new law of dual nationality between Spain and France.

 

For more information on this new agreement, please click here from the BOE.