Europe
Founders running an IP holdco, Andorra
Andorra's IP Box grants an 80% exemption on qualifying IP income, taking the effective rate to 2%. Participation exemption covers qualifying dividends, and there is no withholding on dividends or interest.
IP Box 2%Participation exemption0% WHT dividends
Start setup {placement} 4 min · no card required
Corp tax
10%
Fastest setup
4 weeks
Tax treaties
10
Region
Europe
What you'll need
- Resident director required
- Local registered office required
- Economic-substance test applies
- Minimum capital: EUR 3,000
- Administrative language: Catalan
- Legal system: Civil law
Tax and treaty profile
- Corporate tax 10%
- Effective rate ~2%
- Tax treaties 10
- VAT rate 4.5%
- Withholding on dividends 0%
Key treaty partners
SpainFrancePortugalLuxembourgUAELiechtenstein
Banking and payments
- Banking takes 2 to 4 weeks with KYC
- Stripe not supported
- Wise supported
- Crypto banking available
Considerations
If you cannot relocate or appoint a resident director
Andorra requires at least one Andorran resident director and real onshore activity for the tax benefits. If you need to operate fully remotely:
Resident directorOnshore activityNo remote only