Ecovis in Singapore

Digital nomads Spain: New law facilitates working in Spain

01.04.2023

As of 1 January 2023, homeworking employees from non-EU countries can also work for their company from Spain. This has been made possible by a new law on digital nomads passed by the Spanish parliament.

Spain is known for its good weather, great food, beaches, and quality of life. Although working from home was not uncommon before the covid pandemic, it has since exploded and is now very popular, especially amongst white collar professionals. European Union nationals are already making use of the possibility to work out of Spain.

What are digital nomads?

For the purpose of the law, a digital nomad is either an employee of a foreign company who works from Spain through digital means, or a professional providing their services to foreign companies also on a purely digital basis (but is also able to offer up to 20% of their business services to Spanish companies). The visa is available for professionals with a minimum working experience of three years, or who have graduated from a university, business school or similar.

To receive the visa, applicants must prove the real existence of an employment contract or provide details of the foreign businesses with which they have a relationship. This is to ensure that the foreign national digital nomad has a real economic relationship with a foreign company or business that will allow them to maintain themselves economically.

We will advise you on how to obtain the visa, the requirements and the required documents.

Christian Koch, Lawyer, Partner, ECOVIS Legal Spain, Madrid, Spain

The visa will be issued initially for one year but it can be renewed and transformed into a residence permit, with a duration of three years. It should also be noted that the visa allows direct family members to also reside in Spain.

Tax breaks for digital nomads in Spain

To further attract digital nomads to Spain, a special tax regime has been introduced. A flat rate of tax of 24% will apply to income up to EUR 600,000 and in most cases, the visa holder will not have to pay tax on income generated outside of Spain.

Together with the golden visa for investors, the new visa for homeworking employees makes Spain an attractive destination for professionals looking for a place of residence in the European Union, say the Ecovis experts.

For further information please contact:

Christian Koch, Lawyer, Partner, ECOVIS Legal Spain, Madrid, Spain
Email: christian.koch@ecovis.es

Webinar: Beyond ESG Compliance: Leveraging CSRD Reporting for Business Growth

31.03.2023

Ecovis ProventusLaw, in collaboration with Ecovis Germany and the German-Baltic Chamber of Commerce in Estonia, Latvia, and Lithuania (AHK), is hosting a webinar that will delve into the new reporting requirements under the Corporate Sustainability Reporting Directive (CSRD) and how they will impact businesses in the value chain.

As an international network of experts specializing in tax consultation, accounting, auditing, and legal advice, Ecovis can assist companies in preparing for the new EU legislation. The CSRD goes beyond being just a compliance exercise; it requires a strategic approach and involvement at the highest level of the company, with ESG-skilled and accountable board members responsible for sustainability governance.

This webinar aims to present the new upcoming reporting requirements and clarify that companies in the value chain impact the sustainability performance of companies in the chain and their reporting under the CSRD. By preparing for CSRD reporting, businesses can identify and address sustainability risks and opportunities, leading to improved performance and competitive advantage.

It is an opportunity to be noticed, as attendees will gain valuable insights into sustainability reporting and compliance. Join us for this informative webinar and learn about the upcoming changes in the CSRD and how they will affect your business.

• Date: April 27, 2023
• Time: 1:00 – 2:00 pm EEST (GMT+3)
• Place: online
• Language: English
• Register now to secure your spot here:
  • https://www.eventbrite.co.uk/e/beyond-esg-compliance-leveraging-csrd-reporting-for-business-growth-tickets-601086986357

Duty exemption and international money transfer: Businesses must be aware of changes in Vietnam

30.03.2023

From 15 February 2023, materials that can be used to manufacture information technology products are exempt from import duties in Vietnam. Another change also came into effect on this date regulating the unilateral transfer of funds from Vietnam abroad. The Ecovis consultants know exactly what companies need to consider.

Import duty exemption for information technology production components

According to Circular No. 25/2022/TT-BTTTT, issued by the Ministry of Information and Communications on 28 April 2022, import duty will be exempted for raw materials, supplies and components imported directly for use in the production of information technology products, digital content, and software under the two conditions:

• They are imported to produce the products on any of the following lists
  • List of software, hardware and electronics prescribed by Circular No. 09/2013/TT-BTTTT and its amending and supplementing Circular No. 20/2021/TT-BTTTT, or
  • List of digital content products prescribed by the Ministry of Information and Communications

The above conditions are subject to periodic review and change by the Ministry of Information and Communications.

• They are not on the list of domestically available machinery, equipment, raw materials, supplies and components for the telecommunications industry, information technology, digital content and software in Appendix 8 of Circular No. 05/2021/TT-BKHDT.

Synchronising regulations on overseas money transfer

To align Vietnam’s regulations on money transfer abroad with international standards, the State Bank of Vietnam issued Circular No. 20/2022/TT-NHNN on 30 December 2022. The circular sets out the rules on one-way money transfer from Vietnam abroad and payment and money transfer for other current transactions by organisations and individuals resident in Vietnam. There are several important points:

• Organisations resident in Vietnam are allowed to buy, transfer, or take foreign currencies abroad as a one-way money transfer for:
  • Sponsorship or aid
  • Rewarding non-resident individuals or organisations who participated in programmes and contests held in Vietnam
  • Allocating funds to overseas members participating in scientific research projects in Vietnam and abroad
  • Refunding sponsorship for project implementation in Vietnam according to agreements with foreign parties
• Payment and remittance activities for current transactions by organisations and individuals include:
  • Temporary import/export, re-export/re-import, transit, receipt of goods processing for foreign traders, order processing of goods abroad, and other activities related to the international purchase and sale of goods under commercial law
  • Social insurance contributions and payments
  • Fines and compensation for property damage or injury not covered by insurance
  • Other items as specified in the circular

For further information please contact:

Nghia Tran, Partner of Tax, Accounting and Consulting, ECOVIS AFA VIETNAM, Da Nang City, Vietnam
Email: Nghia.Tran@ecovis.com.vn