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Andorra glossary: the vocabulary of tax and residency

IRPF, CASS, comú, quota… This Andorra glossary explains in a few sentences the acronyms and Catalan words you will come across as you prepare your move: taxes, social security, institutions, residency statuses and the French rules linked to leaving. Each definition gives the figures checked in October 2026 and links to the guide or news item that covers the subject in detail.

63 definitions
Verified on 10 October 2026

A

Active residency #: Common expression for the authorisations that allow you to work in Andorra: residence and work as an employee, on a job offer from an Andorran company, and residence and work on your own account (self-employed), linked to an Andorran company in which you hold more than 34%. They begin with a one-year authorisation, followed by three two-year renewals, then by ten-year renewals after seven years. For a self-employed person, renewal requires at least 183 days of presence a year. Types of residency
AFA (Autoritat Financera Andorrana) #: Supervisory authority for the Andorran financial system: banks, insurance, investments. In 2018 it took over from the INAF, hence the wording “AFA (formerly INAF)”. It is to the AFA that the sums required for passive residency and self-employed residency are paid, €50,000 that has been non-refundable since Llei 2/2026, while professionals with international reach make a refundable deposit of €47,500 with it. Costs and AFA deposit
Autorització de residència i treball (residence and work permit) #: Permit that allows a foreign national to reside in Andorra and to work there as an employee, on a job offer from an Andorran company, within the limit of the general quota (Article 28 of the qualified law on immigration). It is issued for one year, then renewed three times for two years; after seven years, renewals are for ten years. In the first year, the holder may neither change sector nor work for themselves, save in exceptional cases, and they must prove Catalan at level A1 at the first renewal, A2 at the second. Work permit

B

BOPA (Butlletí Oficial del Principat d’Andorra) #: The Principality’s official gazette. Laws, decrees of the Govern (including the immigration quota regulations) and many official notices are published in it; it is the version published in the BOPA that is authoritative. The consolidated versions on the Portal jurídic d’Andorra, which are easier to read, have no official value. Official sources

C

CAP (centre d’atenció primària) #: Local health centre, the entry point for routine care. Each parish has at least one, and each person aged 16 or over chooses their own. Highly specialised care, for its part, is provided in centres under agreement with the CASS in Spain or France. Healthcare and insurance
Cap de Govern #: Head of the Andorran government. Under the Constitution, the cap de Govern is elected by the Consell General, then appointed by the co-princes, and directs the Govern, which is made up of its head and the ministers. Decrees of the Govern, such as the immigration quota regulations, are signed by the cap de Govern. Andorra at a glance
CASS (Caixa Andorrana de Seguretat Social) #: The Andorran Social Security Fund, which manages health insurance and pensions in particular. For an employee, the contribution is 22% of gross salary (6.5% paid by the employee, 15.5% by the employer); a self-employed person pays 22% of a base linked to the average wage, i.e. €587.95 a month in 2026 on the standard base. Within the care pathway with a referring GP (via preferent), the CASS reimburses 75% of consultations and 90% of hospitalisation costs, based on its own tariffs; outside this pathway, 33%. CASS: social security contributions
Catalan requirement #: Catalan is the official language of Andorra (Constitution, Article 2). Since Llei 6/2024, the holder of a residence and work permit must prove level A1 at the first renewal, required since 26 April 2026, then level A2 at the second. The Govern must extend this requirement to the other authorisations, including passive residency, within five years of the law’s entry into force; nationality requires level B1 for those under 70. Languages and integration
Co-princes #: The two heads of the Andorran State, who hold this office jointly and in a personal capacity: the Bishop of Urgell and the President of the French Republic. Under the 1993 Constitution, they symbolise the continuity of Andorra and arbitrate the functioning of the public authorities. In particular, they appoint the cap de Govern elected by the Consell General. Andorra at a glance
Companies Register (Registre de Societats) #: Public register in which Andorran companies are entered. A company is formed by a notarial deed (escriptura pública) before an Andorran notary, then acquires legal personality on its entry in the register (Llei 20/2007). The obligation to pay contributions to the CASS starts 30 days after this registration. Setting up a company
Comú #: The administration of each of the seven parishes, comparable to a town council (plural: comuns). Under the Constitution, the comuns have local rule-making authority and their powers are set by a qualified law. They levy their own taxes, such as the foc i lloc, property tax or the comú share of property transfer tax (ITP). Where to live: the 7 parishes
Consell General #: Andorra’s parliament. It has from 28 to 42 general councillors, elected for four years by direct universal suffrage: half in the parishes, in equal numbers for each, the other half in a national constituency. It passes laws, including qualified laws, and elects the cap de Govern. Andorra at a glance
CPI (consumer price index) #: Indicator of changes in prices published by the Departament d’Estadística, Andorra’s statistics office. Several rules refer to it: Llei 11/2026 limits the revision of rents on leases extended from 2027 to 2030 to the previous year’s CPI, and the immigration quota regulations raise their salary scales in line with its increase. In 2027, the CPI-linked share passed on in the first year to certain new leases is capped at 2.5%. Renting: Llei 11/2026 regulates leases and rents from 2027 to 2030
Cross-border worker (fronterer) #: Person authorised to work in Andorra while habitually sleeping outside Andorran territory (Article 24 of the qualified law on immigration). The cross-border work authorisation is issued for one year, then renewed for periods of three years; it is counted in the general quota: 176 in the April 2026 regulation, 198 in the October 2026 one. It does not allow you to reside in Andorra. A seasonal cross-border worker, for their part, receives a temporary cross-border work authorisation (Article 25). Cross-border worker
CRS (automatic exchange of information) #: The OECD’s Common Reporting Standard, which organises the automatic exchange of data on financial accounts held by non-residents between tax authorities. Andorra has carried out these exchanges since 2018, in particular with France and the European Union. With Llei 26/2025, it moved to “CRS 2.0”, which also covers electronic money and certain digital assets. Is Andorra a tax haven?
Customs union #: Agreement of 1990 between the European Community and Andorra, which forms a customs union for industrial products (Chapters 25 to 97 of the Harmonised System). Agricultural products are not part of it, but those originating in Andorra enter the EU free of duty. This does not make Andorra a member of the EU or of the Schengen area, and the association agreement, if it enters into force, is to replace this arrangement. Andorra at a glance

D

Decret (decree) #: Regulatory text adopted by the Govern, in particular to implement laws, and published in the BOPA. Amounts and quotas that are revised frequently are set in decrees: minimum wage, immigration quotas, tax regulations. For example, Decree 253/2026 set the minimum wage at €9.05 an hour from 1 July 2026.
Digital nomad #: Residence intended for people whose work does not depend on a specific location and is carried out remotely using telecommunications, for example an employee of an employer established abroad or a self-employed person whose clients are outside Andorra (Articles 23, 33 bis and 101 quinquies of the immigration law). It requires a favourable decision from the Ministry of the Economy, sufficient resources, insurance, housing and at least 90 days of presence a year. Its durations are those of passive residency. Digital nomad

E

e-tràmits #: Official website for the online procedures of the Govern d’Andorra (seu electrònica). It contains the catalogue of formalities, classified by theme and by profile: immigration, taxes (IRPF, IGI, IS), tax census declaration to obtain an NRT, certificates. The information sheets specify the documents to be provided and sometimes the methods of calculation, for example that of the resources required of a passive resident. Procedures and timescales
Economic substance #: The reality of an activity or a company where it is declared: premises, staff, directors who are present, decisions taken on site, genuine contracts. Andorran law requires it in its own way for self-employed residency: effective management, an active registered business within 3 months, real activity checked on renewal. A company without substance exposes you to tax reassessments, particularly in France: have your set-up validated by a professional. Basing your company in Andorra
EES (Entry/Exit System) #: European Union system that digitally records the entries and exits of third-country nationals in the Schengen area, instead of the stamp in the passport. It has been fully operational at the external borders of the 29 participating countries since 10 April 2026 and does not concern citizens of the Union. As Andorra does not apply Schengen, an EU⁠–⁠Andorra agreement on border management, whose signing and provisional application the Commission proposed on 7 September 2026, is to exempt holders of an Andorran residence permit from this registration. Andorra⁠–⁠EU association agreement: signing announced for 19 October
ETNC (non-cooperative states and territories) #: French list of the jurisdictions considered non-cooperative in tax matters (Article 238-0 A of the French General Tax Code), to which defensive tax measures are attached. Last set by the ministerial order of 15 April 2026, published in the Official Journal of 26 April 2026, it has 11 states and territories. Andorra is not on it. Is Andorra a tax haven?
EU⁠–⁠Andorra association agreement #: Agreement negotiated between the European Union, Andorra and San Marino to give these two countries access to the internal market comparable to that of the States of the European Economic Area; it would replace the current customs union. The Council of the EU approved it on 16 July 2026 and its signing is announced for 19 October 2026 in Brussels. It does not apply yet: still outstanding, in particular, are approval by the European Parliament and, in Andorra, a referendum and a vote of the Consell General. Andorra⁠–⁠EU association agreement: signing announced for 19 October
EU list of non-cooperative jurisdictions #: List drawn up by the Council of the European Union and revised twice a year: Annex I, often called the “blacklist”, lists the non-cooperative jurisdictions, and Annex II those that cooperate but still have to meet commitments. In the update of 9 October 2026, Annex I has 8 jurisdictions and Annex II has 10. Andorra appears in neither; it was listed in Annex II from December 2017 to December 2018. EU tax haven blacklist: Andorra not listed in October 2026
Exit tax #: French taxation of unrealised capital gains on securities on departure from France (Article 167 bis of the French General Tax Code). It targets people who have been domiciled in France for tax purposes for at least 6 of the 10 years preceding departure and who hold at least 50% of the profits of a company, or at least €800,000 of securities. For a move to Andorra, the notes to return 2074-ETD published in 2026 do not provide for an automatic payment deferral: it has to be requested, with guarantees. Check the notes for the year of your departure, with a professional. Leaving France for tax purposes

F

Foc i lloc #: Annual parish tax payable by every person aged 18 to 65 registered in the census of their parish. The law on the finances of the comuns sets its range, from €5 to €50 a year per person, and each comú decides the amount. Its name literally means “fire and place”. Taxes in Andorra
Fons d’Habitatge #: Public fund set up to develop housing in Andorra. An applicant for passive residency may invest €400,000 in it, instead of the €1,000,000 required since February 2026 in other Andorran assets. The practical arrangements for this investment (product, lock-in period, liquidity) have not been publicly documented to date: check with the Govern. Passive residency
Foreign investment #: Investment made in Andorra by a foreign person or entity, whether it involves buying a property or taking a stake in an Andorran company; Llei 5/2025 makes it subject to prior authorisation. For real estate, a resident who has been settled for less than 3 years is treated as a foreign investor, and an individual may acquire only one house, or two flats, or six parking spaces over ten years. An investment does not, in itself, give any right to residency. Foreign investment
France⁠–⁠Andorra tax treaty #: Treaty signed in Paris on 2 April 2013, in force since 1 July 2015 and applicable since 1 January 2016, which allocates taxing rights between the two countries in order to avoid double taxation. Its Protocol specifies that an Andorran residence permit is not enough, on its own, to make you an Andorran resident within the meaning of the treaty. Its Article 25 contains a nationality clause, inoperative for lack of a French implementing law at 10 October 2026. France⁠–⁠Andorra tax treaty
French tax domicile (Article 4 B) #: Concept of French law (Article 4 B of the French General Tax Code) that determines whether you remain taxable in France on all your income. A single criterion is enough: home or principal place of stay in France, main professional activity in France, or centre of economic interests in France. Spending 90 days a year in Andorra is therefore not enough to stop being a French tax resident. Tax residency

G

General quota #: Maximum number of residence and work permits and cross-border work authorisations that the Govern grants over a period, set by a regulation published in the BOPA. Since Decree 388/2026, published in the BOPA of 8 October 2026, it has been set at 900 authorisations until 30 April 2027, from which the 250 granted in June are deducted. Residences without work and the self-employed come under other quotas. Immigration quota: 900 work permits until April 2027
General tax base #: Part of the income taxable under IRPF that brings together income from work, pensions, income from economic activities and property income. After the €24,000 personal allowance, it is taxed at 10%, but a tax credit (the bonificació) capped at €800 brings the effective rate down to 5% between €24,000 and €40,000. It is the source of the effective “0, 5 and 10%” scale. Income tax (IRPF)
Gestoria #: Private firm that carries out administrative, tax, social security or accounting formalities on behalf of individuals or businesses: immigration applications, tax returns, contributions, accounting. Its services and fees vary from one firm to another. Andorre Fiscal does not recommend any by name: ask for several quotes and check exactly what is included. Accounting and obligations
Govern #: The Government of Andorra, made up of the cap de Govern and the ministers. It conducts national and international policy, adopts decrees (minimum wage, immigration quotas, tax regulations) and examines residence applications through its Immigration Service. Its online procedures are brought together on e-tràmits. Andorra at a glance

I

IEI (foreign property investment tax) #: Tax payable on a property purchase by a foreign investor: a non-resident, a resident who cannot show 3 years of actual residence in the last 10 years, a foreign company or an Andorran company owned 50% or more by foreign capital. Since 13 February 2026, it has been 6% for one home (a house, or a flat with at most 3 parking spaces and 3 storage rooms) and 10% beyond that. It comes on top of property transfer tax (ITP) or IGI. Buying property
IGI (general indirect tax) #: The Andorran equivalent of VAT, applied since 1 January 2013. Its general rate is 4.5%, with special rates of 0%, 1%, 2.5% and 3.5%, and a rate of 9.5% for banking and financial services. The sale of a new home by a developer is subject to it, instead of property transfer tax. VAT in Andorra (IGI)
Immigration quota #: Maximum number of authorisations that the Govern may grant over a period, set by a decree published in the BOPA for each type of authorisation. In 2026: 200 authorisations for residence without work (including 163 for passive residency), 200 for self-employed residency, and a general quota for employees and cross-border workers. Once a quota has been used up, an application can no longer succeed under it until there is an extension or a new quota. Immigration quota: 900 work permits until April 2027
Immigration Service (Servei d’Immigració) #: Govern service, attached to the Departament d’Immigració of the Ministry of Justice and the Interior, that examines applications for residence and work authorisations and their renewals. It applies the quotas, checks the conditions for renewal, including the level of Catalan, and issues certificates from the immigration register. The formalities are described on the Govern’s website and on e-tràmits. Procedures and timescales
IRNR (non-resident income tax) #: Tax payable in Andorra by non-resident individuals and entities on their Andorran-source income (Llei 94/2010). Its general rate is 10%. A non-resident’s capital gains on property are taxed more heavily under it: 25% for a resale in less than 2 years, 20% between 2 and 5 years, 15% between 5 and 10 years. Dividends and capital gains
IRPF (personal income tax) #: Tax on the income of individuals resident in Andorra, governed by Llei 5/2014 and calculated on their worldwide income. Its single statutory rate is 10%; thanks to the €24,000 personal allowance and a tax credit (the bonificació) capped at €800, earned income, business income and property income are in practice taxed at 0% up to €24,000, 5% up to €40,000 and 10% above that. Savings income is taxed at 10% after an allowance of €3,000. Income tax (IRPF)
IS (corporate income tax) #: Tax on the profits of Andorran companies, at the general rate of 10%. Since 2024, a minimum taxation rule has prevented deductions from bringing the tax below 30% of gross tax. Only a reduced regime remains, for certain intangible assets (patents, software), whose tax base is reduced by 80%; the former special regimes were abolished in 2018. Corporate income tax
ITP (property transfer tax) #: Tax on transfers of real property, payable in particular on the purchase of an existing property between private individuals. It consists of 1% for the State and a comú share set by each comú at between 0.5 and 3%; practitioners use a total of about 4%. An exemption exists for a first home, subject to conditions of residence, income and price (less than €600,000). Buying property

L

Llei (law) #: Law passed by the Consell General, then published in the BOPA; it is numbered by year, for example Llei 2/2026 (Law 2/2026). It enters into force on the date it sets, often the day after its publication. Revisable amounts and practical arrangements are generally set afterwards by decrees of the Govern. Official sources
Llei òmnibus #: Nickname of the two reform laws adopted to regulate Andorra’s growth, which amend many texts at once. Llei 5/2025 (“Omnibus Law 1”, 6 March 2025) notably overhauled foreign investment and housing law; Llei 2/2026 (“Omnibus Law 2”, 22 January 2026, in force on 13 February 2026) raised passive residency to €1,000,000 and made the sums paid to the AFA non-refundable. Omnibus Law 2: passive residency rises to €1,000,000
Llei qualificada (qualified law) #: Law that must be passed by an absolute majority of the members of the Consell General, and sometimes by a double majority of the councillors elected in the parishes and at national level. The Constitution requires it in certain matters, such as nationality or the powers of the comuns. The law on immigration (Llei 9/2012) and the law on nationality are qualified laws.

M

Monetary agreement #: Agreement concluded between Andorra and the European Union that allows the country to use the euro and to mint its own euro coins. Signed on 30 June 2011, it has been in force since 1 April 2012. It does not make Andorra a member of the European Union, or of the Schengen area. Andorra at a glance

N

NRT (número de registre tributari) #: Tax identification number assigned by the Andorran tax authority, the Departament de Tributs i de Fronteres. Taxpayers must have one and state it on their returns. It is obtained through a tax census declaration (form 001-A), which can be filed online on e-tràmits. Accounting and obligations

P

Padró (parish census) #: Population register kept by each comú, in which the inhabitants of the parish are registered. Registration serves as the basis for certain parish taxes, such as the foc i lloc, and for formalities; Llei 11/2026 thus provides for residential leases to be recorded when the tenant registers. The total of the parish census differs from the population estimated by the Departament d’Estadística, because its criteria are not the same. Where to live: the 7 parishes
Parish (parròquia) #: Territorial division of Andorra, administered by a comú. There are seven: Canillo, Encamp, Ordino, La Massana, Andorra la Vella, Sant Julià de Lòria and Escaldes-Engordany. Each elects the same number of general councillors and sets its parish taxes within the limits laid down by law. Where to live: the 7 parishes
Passive residency #: Residence “without gainful activity”, for living in Andorra without working there. Since 13 February 2026, it has required €1,000,000 invested in Andorra (or €400,000 in the Fons d’Habitatge), more than €800,000 per property, a final payment of €50,000 to the AFA (plus €12,000 per dependant), resources of more than three times the annual minimum wage, health insurance covering 100% and 90 days of presence a year. No professional activity is allowed, not even remotely. Passive residency
Personal allowance #: Part of income exempt from IRPF: €24,000 a year, raised to €30,000 in the case of disability and to €40,000 when the spouse or partner has no general-base income. It applies to the general tax base (work, pensions, business activities, property income), not to savings income. Reductions are added to it, for example €1,000 per dependent child under 25. Income tax (IRPF)
Portal jurídic d’Andorra #: Public website that gives access to the Andorran laws and regulations in force, in consolidated versions: the successive amendments are incorporated into them. These texts carry the notice “text refós sense caràcter oficial”: only the version published in the BOPA is authoritative. It is the most convenient way to read an up-to-date law, for example the immigration law. Official sources
Professional with international reach #: Residence authorisation, classed among the residences “without work”, intended for professionals at least 85% of whose services are used outside Andorra, with one employee at most (Articles 98 and 99 of the immigration law). It requires a refundable deposit of €47,500 with the AFA, plus €9,500 per dependant, and at least 90 days of presence a year. The March 2026 quota regulation provides for 10 of them. International professional

S

Savings tax base #: Part of the income taxable under IRPF that brings together income from movable capital (interest, dividends) and capital gains. It benefits from an allowance of €3,000 a year, then is taxed at 10%, with no intermediate 5% band. Dividends paid by Andorran companies are exempt. Dividends and capital gains
SICAR (register of leases) #: Computerised register of residential leases, created by Llei 11/2026. The tenant gives a copy of their lease to the comú of their parish, which enters it in the register when the tenant registers in the parish census. From 2027, failing to do so is a minor offence, punishable by a fine of up to €600. Renting a home
SL and SA #: The two main forms of Andorran company, governed by Llei 20/2007: the private limited company (SL), with minimum capital of €3,000, and the public limited company (SA), with minimum capital of €60,000. Their profits are subject to corporate income tax at 10%. To obtain self-employed residency, a foreign national must hold more than 34% of an Andorran company and actually run it. Setting up a company
SMI (minimum wage) #: Andorra’s national minimum wage, set by decree for each year. It has been €9.05 an hour, i.e. €1,568.67 a month for 40 hours a week, since 1 July 2026 (€8.80 an hour before that). It serves as the reference for other rules, in particular the resources required for passive residency: more than three times the annual minimum wage. Minimum wage in Andorra: €9.05 an hour since July 2026
Speculative surcharge #: Increase in the tax on the capital gain of a resident who quickly resells a property located in Andorra: an extra 10% if the sale takes place less than 2 years after the purchase, 5% between 2 and 5 years, on top of the 10% IRPF. Between 6 and 10 years of ownership, coefficients then reduce the taxable gain, which is no longer taxed beyond 10 years. Dividends and capital gains

T

Tax residency #: The country in which a person is taxable on all their income. In Andorra, a tax resident is someone who stays there for more than 183 days in the calendar year, or who has the centre of their activities or economic interests there; residence is presumed if their spouse and minor children live there. It is not the same as a residence permit: holding one is not enough, and France applies its own criteria (Article 4 B). Tax residency
Temporer (seasonal worker) #: Catalan word for a seasonal worker. The immigration law refers to a temporary immigration authorisation (Article 26): granted under a special quota that the Govern sets for activities carried on during only part of the year, it allows the holder to reside and work in Andorra for the length of a season, in a specific activity and sector, and cannot be extended. A seasonal worker who sleeps outside Andorra receives a temporary cross-border work authorisation (Article 25). Llei 2/2026 added a temporary authorisation for employees recruited in their country of origin (Article 26 ter). Work permit
Text refós (consolidated text) #: Version of a law that incorporates all its successive amendments into a single text. The Portal jurídic d’Andorra publishes these texts with the notice “text refós sense caràcter oficial”: they are convenient to read, but only the version published in the BOPA is authoritative. A law sometimes instructs the Govern to prepare a consolidated version, as with the law on nationality after Llei 8/2026. Our method
Transitional provision #: Article of a law (disposició transitòria) that settles how situations under way are treated at the moment the rule changes. It is often this article that decides whether an application already filed falls under the old or the new law. Example: under Llei 2/2026, applications for passive or self-employed residency filed before 22 January 2026 remain subject to the former conditions. Omnibus Law 2: passive residency rises to €1,000,000

V

Via preferent (care pathway with a referring GP) #: CASS care pathway in which the insured person goes through their referring GP. Within it, the CASS reimburses 75% of consultations, 90% of hospitalisation and 100% of maternity costs, based on its own tariffs; outside this pathway, reimbursement falls to 33% (60% for prescribed procedures and products). Healthcare and insurance