Emigrating from Bosnia & Herzegovina to Andorra: tax and cost of living

Compared by dimension

On an average Bosnia & Herzegovina income of €36,000 gross per year, you keep €35,400 net in Andorra: a difference of €12,860 per year compared with Bosnia & Herzegovina.

• Tax: on this income Andorra lands at an effective rate of about 2%, against 37% in Bosnia & Herzegovina.
• Passport and mobility: from Andorra you travel visa-free to 141 countries.
• Residency: on our accessibility scale Andorra scores 87 out of 100 for obtaining residency.
• Living environment: banking, internet, safety and healthcare together give Andorra a living-environment score of 78 out of 100.

The tax regime in Andorra

Andorra levies a progressive personal income tax (IRPF/IRPF) with a top rate of only 10%. The first €24,000 is exempt; income between €24,000 and €40,000 is taxed at 5%; above €40,000 at 10%. There is no wealth tax or inheritance tax. The indirect tax (IGI) stands at 4.5%. Andorra has a limited treaty network (approx. 9 treaties in force). Crypto gains are generally treated as capital gains.

Residency and visas in Andorra

Andorra offers four residency categories: passive resident (minimum investment of €400,000 in Andorran real estate or bank deposit, or €600,000 in financial assets), active resident (employed or self-employed), internationally active resident, and family reunification. Passive residents must spend a minimum of 90 days per year in Andorra. Permanent residency is available after 3 years; naturalisation after 20 years (reduced to 10 years for Spanish, French and Portuguese nationals).

• Residència Passiva · €400,000 · 3 years to permanent residency
• Residència Activa per Compte d'Altri · 3 years to permanent residency
• Residència Activa per Compte Propi · 3 years to permanent residency
• Residència Activa Internacional · 3 years to permanent residency
• Reagrupament Familiar · 3 years to permanent residency

Frequently asked questions

What is the financial difference between Bosnia & Herzegovina and Andorra?

On an average Bosnia & Herzegovina income it differs by roughly €12,860 net per year. Your own figure depends on your income and situation; calculate it with the free freedom check.

Is this tax advice?

No. Libaros compares on the basis of primary government sources and provides information. For personal decisions, consult a qualified adviser.

What sources is this based on?

The Freedom Score uses the OECD Tax Database, IATA Timatic, the Henley Visa Index and Eurostat, with direct links to primary government sources.