Some notes on the risks of passive residence in Andorra - PSF Consultoría empresarial

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Some notes on the risks of passive residence in Andorra

We have talked about this issue many times in the past, but there are still situations in which there is abuse of passive residences in Andorra. That is why I want to write another article reviewing some points already discussed and talking about new ones.

 

The passive residence is a kind of residence that requires 90 days, a deposit of € 50000 and an investment of € 350000 in Andorran assets. Mainly. Now, no resident mercantile company can be made and it is not a fiscal residence per se. It is what we talked about in the past, for a non-communitary one can make the document, or for a person who travels many months a year. For a EU national it is a complicated residence.

 

Risks of passive residence

Basically, it is a very easy residence to be discussed. We are right now in a situation in which it is expected that during the next few years many residences will be resorted to and there will be many problems. Having a house at your disposal in Spain can cause you to have your residence knocked down. This comes to imply that the passive residence will not have any validity and will have to pay all the assets that are in Andorra with the relevant penalties.

 

Why do I comment on this? Because I have a constant flow of people with passive who want to increase their assets in the country, but unfortunately have a residence that has no fiscal validity or that is extraordinarily simple to discuss. The passive as such is not a complex process and many entities do it in a way that although It is valid in Andorra It is not valid at all outside the country. Therefore, it is a matter of time before the customer has problems.

 

The fiscal problems do not appear immediately, but once they appear they will be very serious. Frankly, it is very possible that this problem is solved in a two years when many people have problems with their passive residences in the country and people discover that it is not as simple a tool as you think. It is easy to see things that are no longer fiscal residences, but simply passive residences that were made with the sole purpose of buying a flat.

 

In the end, certain practices harm us all, because they damage the image of the country. Be that as it may, beware of the state in which passive residences are made or maintained.

About the Author

Licenciado en Publicidad y Relaciones Públicas por la Universidad de Alicante y Técnico Superior de Artes Plásticas en Gráfica Publicitaria por la Escuela de Artes y Superior de Diseño de Alicante. Su andadura laboral ha girado siempre en torno a la comunicación corporativa. Empezó en el sector cultural, donde se dedicaba sobre todo a las RR.PP. mediante la confección de agendas culturales y eventos promocionales. Luego cambió al sector industrial, en el que ha realizado la comunicación e identidad corporativa de varias empresas como freelance. 

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