Passive residence, also Known as non-profit residence, is a permit that authorizes a person to reside in a country without participating in local employment activities.
It is intended for persons with sufficient income from external sources, such as investments, rents, or pensions.
Andorra offers a passive residency program for those who want to live in the country without working. Requirements include:
This type of residence is ideal for retirees or passive income earners seeking a secure environment and attractive tax benefits.
Portugal offers the D7 visa, known as the passive income visa. This program is designed for people with regular income from abroad, such as pensions or annuities.
Applicants must demonstrate stable and sufficient income to support themselves in the country. The D7 visa allows holders to reside in Portugal and access benefits such as the public health system.
Spain has the non-lucrative residence visa, aimed at people who can demonstrate sufficient passive income to live in the country without the need to work.
Applicants must meet financial requirements and have private health insurance. This visa is renewable and offers the possibility of obtaining permanent residency after a certain period of time.
Greece offers a residency program for persons with independent income. Applicants must demonstrate stable and sufficient income to cover their expenses while residing in the country.
This permit allows holders to live in Greece without having to work locally and enjoy its rich culture and history.
When evaluating passive residency options in Europe, it is important to consider factors such as:
Passive residence offers an opportunity for those who wish to live in Europe with no need to work in the host country.
Countries such as Andorra, Portugal, Spain and Greece have programs designed to attract passive income earners, offering benefits such as a safe environments, tax advantages, and a high quality of life.
At Loyal, we guide you every step of the way to choose the best legal and tax option for you.
Passive income is considered to be income from sources such as rents, financial investments, pensions, or any other income generated outside the country of residence. Each country has specific criteria on the sources and minimum amounts required.
Generally, passive residence does not allow work in the host country. It is intended for persons who can support themselves on income generated abroad.
Some jurisdictions may allow limited economic activities.
The length of stay requirements varies by country. For example, Andorra requires a minimum stay of 90 days per year, while other countries may require longer periods. It is important to know and comply with the residency obligations of each program.
Most passive residency programs allow the inclusion of immediate family members, such as spouses and dependent children. However, additional requirements may apply, such as demonstrating sufficient income to support all family members.
Tax benefits depend on the legislation of each country. Some offer favorable tax regimes for new residents or exemptions for new residents or exemptions on certain types of income.
