The Income Tax for non-tax residents in Andorra is a direct tax that is applied to people or companies that obtain income in Andorra and who do not reside in Andorra.

The IRNR must be paid by companies and people who do not reside in Andorra and who have obtained income in Andorra.

The amount of the tax to pay in general is 10% of the amount of the invoice paid.

In the case of income paid by way of tax fees, it is 5% of the invoice paid and for reinsurance 1.5%.

Andorran companies that pay income to companies or people who do not reside in Andorra in relation to services performed in Andorra must comply with the following obligations:

  • Withhold the amount resulting from applying the tax rate to the invoice amount as a tax to enter.
  • Present to the Ministry of Finance the declaration of withholding and payment on account of the tax during the months of April, July, October or January immediately after the withholding.

In the case of double taxation agreements, it would have to be reviewed on a case-by-case basis whether this tax is applied or not.