Have you ever heard of the Golden Visa? This is a route that many foreign investors take to obtain a residence and work permit in Spain.
In this post we tell you how you can obtain a Golden Visa for Spain, what requirements you must meet and the benefits it brings.
What is a Golden Visa?
We are talking about a residence visa for non-EU citizens that allows them to reside and work throughout the Spanish national territory if they undertake an economic investment in Spain, whether in real estate, bank deposits, or public debt.
The Golden Visa, also known as “Residence Authorization for Investors”, is the residence permit that has the most advantages if we compare it with the other residence authorizations regulated by Spanish law.
Who can apply for a Golden Visa?
Both the investor and his spouse and underage children can apply for it, and even unmarried children of legal age and ascendants, if they prove economic dependence on the investor.
Are you thinking of investing in Spain in order to get a Golden Visa? If that is the case, you should know that there are several options when applying for it.
Requirements for obtaining a Golden Visa: Who is it aimed at?
Spanish regulations govern several instances of investments that give rise to the right to apply for a residence permit for investors.
In particular, this residence permit for investors is intended for non-resident foreigners in the EU who make a significant capital investment in three cases.
1 🏡 Purchase of real estate in Spain
The first way to opt for a Golden Visa would be to purchase real estate in Spain for a value greater than 500,000 euros net free of charges and encumbrances.
The entire investment must be computed on an individual level (it must be made by a single foreign person). For example: two brothers cannot put together 500,000 euros and invest it in the purchase of real estate in Spain.
2 📊 Investment in financial assets
The second way to opt for a Golden Visa in Spain is to make an initial investment of a value equal to or greater than 2 million euros in Spanish public debt securities, or for a value equal to or greater than 1 million euros in shares or equity interests of Spanish companies, or bank deposits in Spanish financial institutions.
3 📈 Investment in a business project
There is also the possibility of processing the residence visa for investors if a certain amount of capital is invested in a business project that will be developed in Spain and which is considered and proved to be of general interest. To be considered as such, at least one of the following three conditions needs to be met:
- Creation of jobs.
- Undertaking an investment with a significant social-economic impact in the geographical area in which the activity will be carried out.
- A significant contribution to scientific and/or technological innovation.
Ways to prove the investment in order to obtain a Golden Visa
The Golden Visa applicant must provide proof of the investment made. The documentation to be submitted varies depending on the type of investment chosen for the application.
So, for example, if the investment has been made in real estate, the applicant must prove that they have acquired ownership of said property through certification with continuous information of ownership and charges from the Property Registry that correspond to that real estate.
Can the investment be undertaken by a legal entity?
Yes, investment in financial assets or real estate can be undertaken by a legal person (a company), as long as it is domiciled in a territory that is not considered a tax haven under Spanish law.
In such a case, the applicant for the Golden Visa must directly or indirectly hold a majority of the voting rights and have the power to appoint or remove a majority of the members of the company's administrative body.
To this end, a report must first be submitted to the Directorate-General for International Trade and Investment (DGCOMINVER) of the Ministry of Industry, Trade and Tourism.
For how long is the residence permit granted?
It is initially granted for two years and is renewed for periods of five indefinitely as long as the investment is maintained.
Advantages of the Golden Visa
✅ The residence visa for investors does not require a minimum period of stay in Spain. This means that you are not obliged to use the Golden Visa once it has been successfully processed and obtained. One of the consequences of this first advantage is that there is really no need to adapt the timing of the processing to the timing of the personal interests of the investor.
In other words, the Golden Visa allows its holder to choose between effectively living in Spain (becoming a tax resident) or being able to spend more time in Spain than the 90 days allowed as a tourist.
Initially, the Golden Visa is not intended for a person to have to come and settle in Spain with their family. This visa works as an “insurance” that, if necessary, would allow its holder to come to Spain.
✅ Secondly, in general, having the Golden Visa does not entail a tax obligation as a tax resident in Spain. The holder will only be taxed on possible income generated by the investment made in the property (for example, if it is rented).
That is to say, living in Spain is an option and the investor will be able to enter and leave Spain as many times as they want without having to move their tax residence from their country of origin.
✅ As a third advantage, we highlight that the Golden Visa gives immediate access to the entire Schengen area (EU/EEA/Switzerland), so it allows its holder to circulate through all these countries without the need to obtain another visa. However, it should be borne in mind that in this case only a maximum of 90 days (as a tourist) are allowed in the other Schengen countries.
✅ Fourthly, the Golden Visa incorporates the right to work both as an employee and as a self-employed person. Therefore, if the foreign person already has a residence permit as an investor and wants to work in Spain, they can do so directly without having to manage and process a different work permit (in other words: in this regard, the Golden Visa does not require any additional procedure).
The Golden Visa also incorporates permission to work for the investor's spouse.
✅ Another of the great advantages of the Golden Visa is that it can be processed very quickly. It can be processed in two ways:
- By the consulate (without having to come to Spain): in this case the applicant must contact the consulate in their country of residence.
- You can take advantage of a trip to Spain to process the residence permit and the foreign person's identity card (TIE). That is to say that the Golden Visa can be processed within Spain, specifically, in the Unit of Large Companies and Strategic Collectives (UGE-CE).
How GD Global Mobility can help you
GD Global Mobility has an expert team for the comprehensive management of Golden Visas.
Our service includes both the management of this permit and support while carrying out the investment.
Do you want a Golden Visa for Spain? We will support you throughout the process: we provide legal cover for the purchase process, we manage the procedure, and we assist and advise you in acquiring the necessary documentation for migration purposes.
Contact our professionals for more information and personalized help.