Startup Tax in Spain
Tax planning, compliance and ongoing support for foreign founders and startups operating in Spain, coordinated with your company setup, funding and growth.
Let's talk about your taxStartup tax in Spain is not ordinary company tax
A startup accumulates, in a short time, decisions that a traditional SME does not usually face until much later: outside capital comes in, equity gets split between founders and the team, invoicing starts from day one even without profit, and there are often cross-border operations or links between shareholders and the company that call for judgment, not a fixed checklist.
Treating that tax picture like an ordinary business — or waiting for problems to surface before addressing them — is what later complicates a funding round, a tax inspection, or a founder's exit. Our work is the planning, compliance and coordination that keeps that from happening.
Four tax planes you should not mix
The company's tax
Corporate tax, VAT, withholdings and the rest of the obligations that fall on the company as its own taxable subject, regardless of who the shareholders are or how the capital is split.
The founder's and director's tax
How you compensate yourself (salary, director fees, dividends), what being a director implies, and how this fits your personal situation — including, if you have relocated from abroad, whether the Beckham Law's special regime might apply to you as an individual.
The investor's tax
Someone investing through a convertible instrument, or entering the capital directly in an investment round, has their own tax analysis, separate from that of the company receiving the investment.
The employee-with-equity tax
Team members receiving phantom shares or stock options as part of their compensation have a specific tax treatment, different from ordinary salary, which depends on the instrument used and the timing of exercise or payout.
From incorporation: tax decisions that shape the next years
Many decisions that look purely corporate at the time of forming the company have tax effects that only show up years later: how the initial capital is split, what tax domicile is fixed, or how founders' contributions are documented.
We do not treat incorporation and tax as two steps handled at different times: the sooner they are coordinated, the fewer adjustments are needed down the line.
Emerging company status and the Spanish Startups Law
Spain's Startups Law and emerging company ("empresa emergente") certification can give access to certain tax and administrative particularities, but not automatically and not for every tech company: there are requirements around company age, activity, structure and others that need to be met and properly verified in each case.
The same caution applies to funding through ENISA or other public instruments: we do not assume that a grant, loan or benefit will be approved — we review your fit before building any expectation around it.
Ongoing compliance: corporate tax, VAT and withholding
Beyond one-off decisions, a startup has recurring tax obligations: VAT filings, corporate tax payments, withholdings on payroll and invoices, and the periodic filing of the corresponding returns. This page does not go into the detail of every form and deadline — that depends on your specific activity and tax calendar — but this is where coordinated advisory makes the difference versus generic bookkeeping.
We work alongside your accountant or gestoría so that day-to-day compliance and strategic tax decisions do not run on separate tracks.
Operating across borders
VAT and EU operations
Selling to consumers or businesses in other EU countries raises questions around reverse charge, distance selling and related VAT rules that need to be reviewed against your actual sales model, not assumed from a general rule.
Permanent establishment
Operating from abroad, or having staff or infrastructure in another country, can create a taxable presence there that needs reviewing case by case — it is not something that can be ruled out simply because the company is registered in Spain.
Transfer pricing and related-party transactions
Transactions between group companies, or between the company and its shareholders or directors, need arm's-length analysis and proper documentation. Tax authorities scrutinise these closely, precisely because they can be used to shift profits artificially.
Operations that should be reviewed before, not after
Founder-company transactions
Loans, rent or services between the company and its shareholders or directors require specific analysis and documentation. There is no single formula that applies to every case.
Director remuneration
How directors are compensated carries tax and governance implications worth reviewing when the structure is defined, not once it has already been set informally.
Deductions and R&D
Deductions for research, development or technological innovation are an opportunity to analyse, not an automatic right: the activity needs to fit the relevant tax definition and, in many cases, be backed by supporting technical documentation.
Funding rounds and investor entry
A funding round, a convertible instrument or a public loan move different tax pieces for the company, for the investor and, where relevant, for the team receiving incentives. We review this as part of the operation itself — alongside your shareholders' agreement — not as an afterthought once everything is signed.
Coordinated with your setup: formation, Beckham Law, incentives and funding
Tax does not sit in isolation from the rest of your legal setup in Spain. If you are personally relocating, whether the Beckham Law may apply to you is reviewed alongside the company's tax picture, not as an unrelated question. If you are setting up the company, tax decisions are coordinated from day one. If you are raising a round, we work alongside the deal itself. And if you are building an equity incentive plan for your team, we look at it together with your overall structure, not as a separate exercise.
For ongoing legal support that ties these pieces together, our startup advisory service works hand in hand with this tax advisory.
How we work with your tax
Diagnosis and planning
We review your corporate structure, your situation as a founder or director, and the operations you have planned, to identify what is worth planning ahead of time.
Getting you in order
We put in order whatever needs it: undocumented related-party transactions, undefined director compensation, or pending questions around emerging company status or other regimes.
Ongoing compliance
We coordinate with your accountant or gestoría so day-to-day tax compliance is covered, while we handle the judgment calls on the operations that need it.
Frequently asked questions
Can you guarantee tax savings or specific deductions for our startup?
No. We do not promise savings or specific deductions without reviewing your situation. Spanish tax rules apply differently depending on your structure, activity and income, and any opportunity — a deduction, a reduced rate, a special status — needs to be verified for your case, not assumed from a general rule.
Does every startup qualify for tax benefits under Spain's Startups Law?
No. Emerging company status and the benefits linked to Spain's Startups Law depend on specific requirements around the company's age, activity and structure, among others, and are assessed case by case. We do not treat certification or eligibility as automatic for any tech company.
What is the difference between the company's tax and the founder's tax?
They are separate tax planes. The company is taxed on its own account (corporate tax, VAT, withholdings) regardless of who owns it. Founders and directors are taxed personally on how they are compensated — salary, director fees, dividends — which is a different analysis, and if a founder is relocating to Spain, potentially connected to, but still separate from, the Beckham Law.
Do you help with VAT and cross-border sales within the EU?
We review VAT questions around EU sales — reverse charge, distance selling, the rules that apply to your specific sales model — case by case. We do not close conclusions on cross-border VAT, permanent establishment or transfer pricing without reviewing how your business actually operates across borders.
Is the Beckham Law part of this service?
The Beckham Law is a separate matter: it is a special tax regime for individuals relocating to Spain, not part of the company's tax. Where relevant, we coordinate the two, and if you want to check whether you personally may qualify, that is covered on our dedicated Beckham Law page.
Do you only advise on tax planning, or do you also handle ongoing compliance?
Both, depending on what you need. Some clients come to us for a specific operation — a funding round, a founder relocation, a cross-border question — while others want ongoing support for recurring compliance (corporate tax, VAT, withholdings) coordinated with their accountant or gestoría. We scope this based on your situation, not a fixed package.
How much does startup tax advisory cost?
It depends on whether you need a one-off review (an operation, a specific question) or ongoing support, and on the complexity of your structure — company, founders, investors, cross-border operations. We give a fixed quote once we understand your situation and its scope.
Let's talk about your tax
Company, founders, investors or team: we help you plan and stay compliant without surprises, coordinating the legal and tax sides in one team.
Got an operation in progress? Let's look at it before, not after.
Book a callRelated services
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Beckham Law Spain
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Startup Legal Advisory
Ongoing legal support across every stage.
Investment Rounds & Private Equity
Legal support for founders and investors, from term sheet to close.
Shareholders' Agreements
Coordinate founders, directors and investors from day one.
Convertible Notes & Participating Loans
The tax angle of your bridge financing, reviewed alongside the instrument.
Phantom Shares & Stock Options
The tax side of your team's incentive plan.
Legal Due Diligence Spain
Make sure related-party transactions are properly documented.
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