Key Features of the Passive Residence in Andorra
The passive residence in Andorra is also known as non-profitable activity residence, as it's designed for individuals who do not intend to work or carry out business in the country. To obtain this type of residency, certain requirements must be met and a series of steps must be taken. Here, we present some of the main features of the passive residence in Andorra:
There's no need to generate income or engage in a professional activity in Andorra.
A minimum stay of 90 days per year in the territory is required.
The right to work or to register a personal business is not granted.
It lasts for two years, renewable for equal periods.
It can be requested by citizens from the European Union as well as from third countries.
Requirements to Obtain the Passive Residence in Andorra
To access passive residence in Andorra, you must meet a series of requirements established by the local authorities. These requirements are as follows:
Minimum Investment in the Country
A minimum investment of 350,000 euros in real estate, business shares, or financial instruments issued by entities based in Andorra is required. This amount can be reduced to 250,000 euros if it involves the purchase of a property intended as a main residence.
Rental or Purchase Agreement for a Dwelling
The applicant must present a valid rental contract or a deed of sale for a property in Andorra that complies with the required habitability and minimum space conditions, as per local legislation.
Non-Refundable Deposit
When applying for passive residence, a non-refundable amount of 15,000 euros must be deposited with the Andorran Financial Authority (AFA). If relatives are included, the sum increases to 20,000 euros. This deposit aims to ensure the applicant's commitment and financial solvency.
Sufficient Income
It must be demonstrated that sufficient annual income is available to cover the cost of living for oneself and one's family in Andorra. Currently, authorities consider a minimum of 35,000 euros per family unit and an additional 8,000 euros for each dependent member.
Health and Liability Insurance
A medical insurance policy that covers healthcare expenses in the Andorran territory is required, along with a civil liability insurance with a minimum coverage stipulated by the relevant authorities.
Other Required Documents
Other documents will also be needed, such as criminal record certificates, valid passports and/or identifications, and marriage or stable partnership certificates, all duly legalized and translated into Catalan, as necessary.
Advantages of Acquiring the Passive Residence in Andorra
The passive residence in Andorra offers several advantages to its holders, among them:
A favorable tax regime, with lower taxes compared to neighboring countries.
Safety and quality of life in one of the world's most peaceful countries.
Attractive natural and cultural offerings that complement the lifestyle in Andorra.
Agile and straightforward administrative processes, especially for European citizens.
How to Apply for the Passive Residence in Andorra?
Obtaining the passive residence in Andorra involves carrying out a series of procedures at different entities, both at the national and local levels. It's advisable to contact a lawyer or consultant specialized in Andorran immigration to get detailed information and personalized guidance. However, it is important to bear in mind that the whole process can take several months, so planning ahead is essential.
