Many expats moving to Spain assume that setting up a company is always more tax-efficient than being self-employed . This idea is very common among foreign entrepreneurs, often based on superficial comparisons that focus only on tax rates , without considering the full picture — such as the cost of setting up a company, ongoing compliance , or something many overlook: how complex and costly it can be to close it later on . In this guide, we’ll explain how corporate tax  actually works in...

Many expats and digital professionals wonder whether it is worth being self-employed in Spain . When expats, digital nomads and freelancers from other countries arrive in Spain and start talking with locals about their plans to register as autónomo , it is very common to hear negative comments. Many Spaniards will say things like “being autónomo is not worth it”  or even that it is a financial mistake. Hearing these opinions can easily create doubts for someone who is just arriving in the...

Self-employed taxes in Spain are mainly paid to two institutions : the Spanish Tax Agency (Agencia Tributaria)  and the Social Security system . Most of our clients are technology and marketing consultants working remotely with two or three clients in their home countries, mainly in other European countries or the United States. Even if they do not have Spanish clients, they must comply with Spanish tax obligations. They submit quarterly income tax payments (IRPF) , usually 20% of their net...