Non lucrative visa Spain
How to obtain a Non-Lucrative residence Visa to live in Spain
What is a non-lucrative visa?
The Non-lucrative Visa in Spain is a permit that allows you to reside in the country and travel throughout the Schengen area. Its main characteristic compared to others is that you do not need to have any remunerated activity.
Tis Visa is for foreigners who wish to establish their residence in Spain, and have sufficient means of subsistence to live in the country, without the need to perform any commercial activity or making any investment.
Non EU nationals looking to reside in Spain for more than 90 days require a visa for entry into Spain. The Spanish non-lucrative residence allows you to reside in Spain, but does not permit a professional activity nor employment. If you want to spend more than half a year in Spain, a non-lucrative visa is a good option to formalize their residence. The non-lucrative visa is one type of Spanish residence permit.
Spain is a country that stands out for its quality of life for expats, holding an outstanding position in global rankings, especially concerning customs and family life. Obtaining Spanish residency will bring a range of benefits, including free access to 26 European countries in the Schengen area.
Who should be think on applying for the Spanish non-lucrative visa?
The non-lucrative permit is suitable for all those who wish to reside in Spain and have sufficient economic capacity to live in the country without working.
To be more specific, this visa is especially suitable for:
- People who want to spend their retirement on Spanish territory.
- All those born outside Spain with the necessary economic muscle to be able to live in the country without having to work.
- For those who plan to spend their first year in Spain without working and, after this period, want to return to work, as the non-lucrative visa allows you to change and apply for a work permit after 365 days.
- The Spanish non-lucrative visa is the best option for those who wish to live on passive income (pensions, rents, dividends…).
How to apply for the Spain non-lucrative visa?
- The application must be made to the Spanish consulate in the country where you are residing. The first step is to make an appointment, either by telephone or online. Remember to do this in advance, as in countries with a high volume of visa applications to Spain the waiting time can be long.
- Once you have made the appointment request, you should ideally start to compile all the documents you will need to submit to apply for this visa. You have a summary of what they are in the next section.
- The next step is to attend the interview that you will have to attend at the Spanish consulate where you have submitted your application. There you will have to present the necessary documentation for the granting of residency and pay the application fees.
- The response process can take up to three months, although it is usually resolved between two and five weeks after the interview.
- If the response to the application has been approved and the residence permit granted, we will have one month to collect the visa. From that moment on, we will have a period of three months to enter Spain. It is important to bear this in mind, because if you try to enter the country after this period you may have problems because the date has expired. And that is why you should make sure that the entry stamp must be affixed when entering spain.
- Once you are in Spain, you have one month to apply for the TIE card (Foreigner Identity Card). You can do this at the Immigration Office or at your nearest police station.
Non Lucrative Visa requirements
The non-lucrative residence visa application must be submitted at the Spanish Consulate of the applicant’s home country. The following documents are required in the application process:
- Application form (National Visa application form and Non-working residence application form).
- A recent and passport-size photograph.
- Valid passport or travel document.
- Criminal record document or equivalent.
- Documentation proving medical insurance.
- Medical certificate.
- Proof of income (documentation proving sufficient financial means). This financial requirements needs to be clarified:
The minimum amount of money requested by the IPREM to obtain the non-lucrative residence permit is as follows because they are one of the most important things in order to get the non-lucrative residence for Spain:
As the applicant, you must prove that you receive 400% of the IPREM* into your bank account annually. For 2021, the IPREM is €564.90 for a month, meaning that you would need a regular monthly income of €2,259.60 or €27,115.20 yearly, or its equivalent in the foreign currency.
For each additional family member, 100% of the IPREM is required, which in 2021 amounts to €564.90 per month or its equivalent in the foreign currency.
Likewise, in order to prove that you have the financial means to live in Spain, you can use any legally accepted means. In this case, you can provide a bank statement or any other document that proves that you have sufficient economic means to live in Spain with your family members.
*The multiplier for the public income index (IPREM) is a reference index used in Spain for the allocation and granting of economic aids, subsidies, allowances or the unemployment benefit among others, based on income. This index was introduced on 1 July 2004 to replace the minimum interprofessional salary (SMI), which allowed a more important growth of the SMI to not affect the entire system of economic aids and subsidies. The IPREM is updated at the beginning of every year in the Budget Law of Spain.
If you want more information about the requirments to get the non lucrative visa, watch the video bellow
Non Lucrative Visa taxes
With regard to the taxes derived from the non-lucrative residence, it should be noted that in order to be eligible for renewal, it is compulsory to spend a minimum of 183 days in Spain, which implies becoming a tax resident.
This means that they will be accountable to the Spanish tax authorities for the revenues they have earned worldwide. However, this does not mean that you have to pay twice for the same income, in Spain and in the country where it was generated, as there are double taxation agreements for them.
The other two cases in which tax will be payable in Spain are on profits made on investments or on those associated with the sale and purchase of property.
The deadline for processing the application is three months. If the visa is granted, the applicant must enter Spain within the validity period of the visa (maximum 3 months). Within one month of entering Spain, the foreign national must register and personally apply for the residence card.
Which are the main benefits of thisVisa?
This Visa has a series of benefits that make it very attractive for foreigners who want to reside in Spain and are able to meet the requirements that are demanded. Some of the most important are the following:
- You can make your family live in Spain too. It is easy to have your wife and children once you have been approved for a non-lucrative residence permit. The only requirement you need to prove is that you will be able to support them as well.
- You will be able to apply for both longer-term residence permits and citizenship.
The permit is initially granted for a period of one year. After this time, you will need to renew your visa. The next two renewals are for two years. Once this first period has elapsed, the next permit granted is a long-term permit.
At the end of all these renewals, you will have the possibility to apply for Spanish residency, which requires you to have lived in the country for ten years as a general rule.
- The non-lucrative visa for Spain opens doors to study in the country. In addition, as internships are educational in nature, you can also do them even if you are paid for them.
- Other great benefit of this Visa is that if you want to go to any place inside the Schengen area, you will be able to do it freely.
- Something that makes it very interesting, especially if we compare it with the Golden Visa, is that the NLV will allow you to reside in Spain without having to make any kind of investment.
- Finally, we cannot close this section without pointing out that the non-lucrative visa is the best option for those who wish to live on passive income (pensions, rents, dividends…).
What do I have to do to have my permit renewed?
This card must be renewed after one year in the country, and the renewal permit obtained is valid for a period of two years.
You must submit the renewal application between 60 days before and 90 days after the expiry date of the visa.
The requirements are practically the same as those initially requested. However, there are some changes that should be taken into account, such as, for example, that in terms of economic solvency the figure is multiplied by two, which is logical if we think that the renewal is for two years.
Here is an in-depth explanation of the non lucrative visa renewal process
What should I do in case my application is denied?
The reasons why an application may be rejected are varied. Before taking any action, we always recommend that you make sure that you have the most up-to-date information and review official sources of information such as this one or this one.
In case you do not get an affirmative response to your application, our advice is to consult a lawyer specialised in immigration law to resolve the obstacles that have prevented you from obtaining a visa.
Frequently Asked Questions
Obtaining this permit allows us a period of residence in Spain of 1 year. After this time the visa can be renewed two years for a total of two times. Once this time has elapsed, it is possible to apply for permanent residency.
All procedures must be carried out at the Spanish consulate or embassy that best suits you according to your country and place of residence.
No, it is not allowed to obtain a non-lucrative visa if you have been living in the country on a student visa before. For this, you need to return to your home country and start the visa application process.
There are two requirements of the Spanish government in this regard; firstly, your policy must be fully comprehensive and without deductibles, and it must be taken out and active for one year. In addition, you have to register your policy with an insurer that is authorized by the Spanish administration.
Yes, it can be done. After the first year you can apply for a change from a non-lucrative visa to another residence permit that allows you to work. This requires a pre-employment contract that proves the viability of granting the work permit.
You have to live in the country for 183 days a year. The main implication of this measure is that you are obliged to declare taxes to the Spanish state.
And what is the best option if I don't want to spend all that time in Spain and don't want to pay taxes either?
Of all the options offered by Spanish immigration legislation that do not require long periods of residence or having to account to the tax authorities, we recommend the Golden Visa, also known as residency by investment.
Even though the Consulates will state that you are not allowed to work remotely from Spain, there is already doctrine in Spain (for example, Section 3ª, Sentence of 22nd of march 2012, appeal nº 299/2010) that clarifies that you could still have business from your home country or outside Spain and even work remotely as long as the companies are not Spanish companies.
If you are in this situation, we will highly recommend you to seek professional advice. You will need to pay attention to the forthcoming Nomad Visa which will hopefully come into force by the end of 2022.
Of course, after the entry into force of BREXIT, British citizens are eligible to apply for this permit, not as before. They must comply with the requirements for its issuance. If they were resident before BREXIT and they comply with the requirements, they should make a TIE application for residents before Brexit as any other European citizens.