The Spanish Tax Authority (Dirección General de Tributos, DGT) has clarified one of the most decisive aspects of Spain’s special expatriate tax regime (Article 93 LIRPF), known as the Beckham Law. In Ruling V1439-25 (29 July 2025), the DGT confirmed that to qualify, there must be a direct and provable causal connection between your move to Spain and your appointment as company director.

Madrid is positioning itself as a leading destination for international investors, and a new regional tax deduction—popularly known as the “Mbappé Law”—has reinforced that vision. This legal update offers significant benefits for new tax residents in Madrid. In this article, we explain what it means, who qualifies, and how Business Expats can help you optimize your relocation.

Expats running international operations often face a hidden tax risk: Permanent Establishment (PE). Without realizing it, simply managing part of your business from Spain — even temporarily — can create legal ties that result in unexpected tax liabilities in other countries.