Introduction of the Law to Support Entrepreneurs in Spain
The Spanish Congress of Deputies (Government) approved the Law to Support Entrepreneurs and Internationalization on September 19, 2013, which became effective shortly after its publication in the BOE (Official Spanish Journal).
Certain fiscal aspects of the Law, such as the corporation tax, personal income tax or value-added tax changes will not be effective until January 1, 2014.
The accelerated process for adopting this Law stresses its urgency and importance.
Although the Government has added 13 amendments to the bill, none of them affect the foreign investors’ situation, and Article 61 stresses the benefits to foreign investors: Foreign nationals wishing to enter or reside in the Spanish territory will see their entry and their residence facilitated for reasons of Spanish economic interest. These benefits remain unchanged.
The foreign nationals who are eligible to benefit from the Law’s opportunity for entry into and residence in Spain under the new Law must fulfill one of the following criteria:
- Acquire Spanish public debt in an amount greater than 2,000,000€
- Acquire a Spanish business with an amount greater than 1,000,000€
- Create a business plan of general interest for Spain
- Purchase real estate of a value greater than 500,000€
Over the past few years, real estate acquisitions have had a significant impact on foreign nationals through the excellent investment rate that the Spanish market offers thanks to the fall in real estate sector prices.
The rise in real estate acquisitions will grow even more quickly thanks to this new Law that grants residence for foreign nationals who invest in Spain.
This article is not considered as legal advice