CONVINUS Global Mobility Insights - Sommer / Summer 2024 Must have a minimum of three months seniority with the employer/client. The employer/client must have been active for at least one year and authorise the remote work arrangement. Social Security Application Process: Visa Application: If outside Spain, apply at the Spanish Consulate. Processing time is ten working days, with silent consent if no decision is made within this period. Residence Permit Application: Can be submitted within Spain if the applicant holds a valid Remote Work Visa or is legally in Spain. Processing time is twenty working days, also subject to silent consent. Requires submission of an application for a foreigner's identity card (TIE) if the permit is for more than six months. Additional Considerations: Employment Law: Spanish employment law likely applies for indefinite telework scenarios. Social Security: In accordance with the Spanish Social Security General Act, any Spanish, foreign employee or self-employed person working in Spanish territory shall be included in the Spanish social security system. Therefore, as a general rule, lex loci laboris legal principle applies. From a practical perspective the Social Security Law of the home country can remain applicable, if permitted according to the applicable Social Security Agreement signed between home country and Spain. This must be proven through the corresponding Social Security Coverage Certificate issued by the home country. 46
CONVINUS Global Mobility Insights - Sommer / Summer 2024 It is important to highlight that the existing Social Security Agreements do not regulate international teleworking scenarios, but just posting. Thus, it is up to each country to fix the criteria to determine if an extensive interpretation can apply and understand not only for postings, but also for teleworking scenarios. In case the home country does not issue a certificate confirming that its law remains as applicable, the foreign employer must apply for the assignment of a Spanish Tax Identification Number as non-resident entity. They must also register with the Social Security as an Employer and obtain a Contribution Account Code in the Spanish Social Security System, to be able to affiliate the teleworker here in Spain. Spanish Social Security requires, in these cases that a representative be appointed in Spain. It is important that the Digital Nomad visa/ permit will not be approved unless the Social Security Coverage or the Contribution Account Code in the Spanish Social Security System are provided. Tax Implications: Digital nomads do not generally constitute a permanent establishment of their employer in Spain as long as they do not make their workplace available to their employer. Their employer does not cover their employer's expenses, and the employee does not conclude contracts in Spain on behalf of their employer or take a leading position in their negotiations. The employee cannot become him/herself place a management of his company. Digital Nomads who acquire tax residency in Spain will be subject to the Spanish Personal Income Tax Act as in any other situation. Therefore, Spain will tax all their income, capital gains and losses, and income allocations established by law, irrespective of where they arise and of the residence of the payer. Digital Nomads who do not acquire tax residence in Spain will only be taxed on income deemed to have been obtained in Spanish territory. Employment income derived from an activity in Spain is Spanish source income irrespective of the residence of the payer. 47
Expat policy 
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