Beckham Law is a special tax regime (STR) that applies to individuals who receive Spanish tax residency as a result of their assignment or labor contract to Spanish territory. This special tax regime is a beneficial regime where the individual is a tax resident in Spain but is taxed under the non-tax resident regulations.
Individuals under this regime would be taxed at a flat rate of 24% up to €600,000. The applicable rates are detailed below:
Taxable Income Rate 2020
- 24% - Up to €600,000
- 45% - Over to €600,000
The Beckham Law is a special tax regime that benefits individuals who become tax residents in Spain due to their work or job contract in the country. Under this regime, their income is taxed differently than regular tax residents.
How is tax calculated under the Beckham law?
The rates applicable for 2020 are detailed below:
- Individuals under the Beckham Law are taxed at a flat rate of 24% on their income up to €600,000.
- For income exceeding €600,000, the tax rate is 45%.
See also: How does the Beckham Law work?