Andorra: Investing

FDI in Figures

The "Tax Haven" status of Andorra attracts foreign investment. The Andorran administration does not propose any formal incentives to investment other than financial support for the development of tourism infrastructures. However, in 2009, the government of Andorra made a commitment to lift bank secrecy as part of its political strategy, showing willingness to have the principality taken off the list of tax havens.
More than 200 economic activities (cosmetic medicine, manufacturing, audiovisual services, e-commerce, research and development...) are entirely open to FDI. For other activities, the participation of foreign capital has been increased to 49%.

The tax burden in Andorra is around 19% of the GDP, i.e. well bellow the European average. With payroll and employer costs relatively low, Andorra offers competitive operating costs. Thanks to its merchant and entrepreneurial tradition, the Andorran labor market offers not only multilingual workforce but also a legislation adapted to the needs of companies. With its advantages in economic and fiscal conditions and an undeniable high quality of life, the Principality of Andorra is a country rich in opportunities for doing business and getting established.

Tax Rates

indirect goods tax (IMI): The rate is 4% on most goods, 7% on electronic products, perfume and optical products and 12% on jewelry and recreational equipment.
Company Tax: 10% (only on non-resident companies)
Withholding Taxes: Dividends: 0%, Interests: 0%,Royalties: 0%.
Bilateral Agreement: Egypt and Andorra are not bound by a tax agreement.
Social Security Contributions Paid By Employers: 13%

Investment Opportunities

Tenders, Projects and Public Procurement: Tenders Info, Tenders in Andorra
DgMarket, Tenders Worldwide

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