Choosing where to move
Portugal or Spain? The tax comparison
IFICI against the Beckham law, wealth tax, freelancer social security and company tax, side by side.
In short
Both countries offer a special tax regime to newcomers, warm weather and a large international community. The differences show up in who qualifies, how long the regime lasts, and what happens to income from abroad.
| Portugal | Spain | |
|---|---|---|
| Special regime | IFICI ("NHR 2.0"): 20% on qualifying work income | Beckham law (impatriate regime): 24% on Spanish work income up to €600,000 |
| Duration | 10 years | The year you arrive plus the next 5 |
| Who qualifies | Specific activities: research, startups, highly qualified roles at eligible companies | Employees, directors, remote workers on the digital nomad visa and some entrepreneurs |
| Foreign income | Most foreign income exempt | Most foreign income not taxed in Spain under the regime |
| Wealth tax | None | Yes, depending on the region, plus a national tax on large fortunes |
| Freelancer social security | 21.4% on 70% of income; first 12 months exempt | Monthly fee based on real income; reduced flat fee in the first year |
| Corporate tax | 15% on the first €50,000, 19% above | 25% standard; lower rates for new and small companies |
| Digital nomad visa | D8 | Visa for international teleworking |
When Portugal tends to win
- You qualify for IFICI: ten years at 20% is longer than Spain's six.
- You have significant savings or investments: Portugal has no wealth tax.
- You plan to run your work through a small company: Portuguese corporate tax on the first €50,000 is lower.
When Spain tends to win
- You are a remote employee who does not fit an IFICI activity: the Beckham law is open to remote workers on the digital nomad visa.
- You are on a high salary from a Spanish employer.
Frequently asked questions
Is Portugal or Spain better for tax as a remote worker?
It depends on whether you qualify for IFICI. If you do, Portugal's 20% for ten years usually wins. If you are a remote employee who does not fit an IFICI activity, Spain's Beckham law may be easier to access.
What is the difference between IFICI and the Beckham law?
IFICI taxes qualifying work income at 20% for ten years and exempts most foreign income. The Beckham law taxes Spanish work income at 24% up to €600,000 for the year of arrival plus five years.
Does Portugal have a wealth tax?
No. Spain has a regional wealth tax and a national solidarity tax on large fortunes.
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