Passive Residence in Andorra
Invest, live, thrive — without professional constraints
What is passive residence?
Passive residence (residence without gainful activity) allows you to live legally in Andorra without carrying out any professional activity. Often compared to a 'golden visa', this term is not used in Andorra. The minimum required presence is approximately 90 days per year, compared to 183 for active residence.
Who is it for?
Key advantages
Equal treatment
No distinction between EU and non-EU nationals
Free movement
Access to France, Spain and Portugal
Flexible oversight
Responsive and flexible administration
Short timelines
Approximately 2 months with a well-prepared file
Tax advantages
Gateway to the Andorran tax framework
Reduced presence
90 days per year versus 183 for active residence
Access conditions
Investment focus
The mechanism: the AFA deposit is deducted from the total investment amount of €1,000,000, i.e., €952,500 net to invest for a single person.
Concrete example: a couple with 3 children → €85,500 AFA deposit + €914,500 investment.
The AFA deposit is refundable upon leaving Andorra or changing status.
The real estate route is the most common. Foreign investment tax: 3% for the first property, 5% for a secondary residence.
Detailed tax framework
Income Tax
| 0% up to €24,000 | |
| 5% from €24,000 to €40,000 | |
| 10% above €40,000 |
Example: €70,000 income → €3,800 in tax
Capital gains on shares
Exempt if holding ≤ 25%, 10% if > 25%, exempt after 10 years
Real estate capital gains
15% in the 1st year, decreasing, 0% after 12 years
Dividends
Andorran companies = exempt / Foreign = 10%
Interest
10%
Crypto-assets
10%
Derivatives
10%
Administrative vs. tax residence
It is essential to distinguish between administrative residence and tax residence. 90 days corresponds to administrative residence, not necessarily tax residence. To fully benefit from the Andorran tax framework, it is recommended to aim for 183 days or more of effective presence.
To become a tax resident of Andorra
Beware of 'miracle solutions' based solely on the 90-day rule.
Social protection
Passive residents are not automatically enrolled in the CASS.
Requirement: private health insurance covering 100% of expenses.
It may be possible to apply French social security/CASS agreements (depending on your situation).
Required documentation
Proof of sufficient income
300% of the Andorran minimum wage + 100% per dependent. Documents: bank statements, pension slips, dividends, rental income, financial returns.
Proof of housing
Deed of purchase or rental agreement. A simple administrative address is not sufficient.
Private health insurance
Mandatory for the entire family, covering medical expenses, hospitalisation and disability.
Medical certificate
Examination in Andorra at an approved medical centre.
Renewal
Initial permit: 2 years → renewal 2 years → then 3 years → then 10 years.
The Aurea methodology
Pre-audit
Week 1Profile analysis and strategy, choice of investment vehicle, presence calendar.
Housing & banking
Week 2-6Lease signing or property purchase, bank account opening, health insurance subscription.
Immigration file
Week 4-10Complete file preparation, Aurea quality control, submission to authorities.
Investment
If applicableForeign investment authorization, tax payment, notarial deed if real estate.
Installation
Post-approvalResidence card receipt, 90-day organization, renewal preparation.
Summary
| Target audience | Investors, private income holders, retirees |
| Required presence | 90 days/year minimum |
| AFA deposit | €47,500 + €9,500/dependent |
| Minimum investment | €1,000,000 |
| Investment types | Real estate, financial products, life insurance, Andorran company shares |
| CASS enrolment | Not automatic |
| Health coverage | Private insurance 100% mandatory |
| Renewal | 2 years → 2 years → 3 years → 10 years |
Your project starts here
The amounts and conditions mentioned are indicative and subject to change under the applicable regulatory framework. Contact us for up-to-date information.