Who counts as a foreign investor
The IEI turns on neither nationality alone nor residence alone. The law defines four categories of foreign investor; anyone outside them is not liable for the tax.
The four categories
Four groups are liable: non-resident individuals; non-Andorran residents who cannot prove three years or more of effective and permanent residence within the ten years preceding the application; foreign legal entities, including where they invest through a branch or other permanent establishment; and Andorran companies whose combined foreign participation is 50% or more.
What counts as residence
Any valid residence permit qualifies, including residence without gainful activity together with a tax-residence certificate. Non-extendable temporary permits are excluded. An absence for studies does not break the count: that period counts as effective residence. For Andorran nationals, what counts is the period of registration on the communal population census.
Who is not
Resident Andorran nationals, non-Andorran residents proving three years or more of effective residence within the previous ten years, and Andorran companies with foreign participation below 50%. Llei 3/2024 had created an intermediate category for participations between 5% and 50%; Llei 5/2025 removed it, and Decret 58/2026 rewrote the list of taxpayers without it: below 50%, the company is not a foreign investor.
SourceDecret 58/2026, art. 1; Llei 5/2025, repealing provision
The base when a company buys
As a rule the base is the real value of the investment being formalised. Where the buyer is an Andorran company with foreign participation of 50% or more, the base is prorated to that share of the capital: a company 60% foreign-owned is taxed on 60% of the value.
This case, calculated
The simulator applies these rules to the buyer's actual profile and returns the amount, the caps and the documents.
Informational content, prepared from the legal texts consulted in July 2026. Rates and thresholds may be changed by the annual budget law.