For founders and investors moving to Spain, the most consequential question about the Beckham Regime is often not "does the 24% apply to my salary?" but "what happens to my dividends and my capital gains?" A founder sitting on equity, a portfolio of shares, a crypto position or a stream of company distributions needs to know precisely how those returns are taxed before committing to relocation. The short answer is that the regime does not sweep savings income into the flat 24% general-base rate. Savings income — dividends, interest and capital gains — is a separate category with its own treatment, and whether Spain taxes a given item at all can depend on whether it is Spanish-source or foreign-source. Getting this distinction right is the single most valuable piece of pre-move planning for anyone whose wealth sits in investments and equity rather than salary.
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Two tax bases: general versus savings The general base and the flat 24% rate Savings income under the regime Spanish-source versus foreign-source savings income Article 93 and the "deemed obtained in Spain" rule Founders with equity and share sales Dividends: Spanish company versus foreign company Crypto, interest and other savings income The misconception that "Beckham means 24% on everything" Why individual analysis is essential Frequently asked questions
"The flat rate applies to the general base, not to your savings income. Dividends, interest and capital gains are taxed by their source and character, so map each item before you assume the 24% reaches it."
— Jacob Salama · International Tax lawyer, Ilustre Colegio de Abogados de Málaga (nº 11294)
Two tax bases: general versus savings
Spanish personal income tax divides taxable income into two distinct pools: the general base and the savings base. This split is not a quirk of the Beckham Regime — it exists throughout Spanish income tax — but it is decisive for anyone electing the regime, because the two bases are taxed under entirely different logic. The general base captures earned and activity income: employment income and income from a qualifying economic activity. The savings base captures investment-type returns: dividends, interest, and most capital gains on the transfer of assets.
When someone asks whether "the Beckham Regime covers capital gains and dividends", they are really asking how the regime interacts with the savings base. And the answer is that the regime's headline flat rate is designed for the general base. The savings base keeps its own separate treatment, which means investment returns do not simply become 24% euros because you elected the regime.
The general base and the flat 24% rate
Article 93 of the Personal Income Tax Act, as amended by the Startup Act (Law 28/2022), provides that — with savings income carved out — the relevant taxable base is taxed at a flat 24% up to €600,000 per year, and 47% on the portion above that ceiling. This is the benefit that draws high-earning professionals and founders: under the ordinary progressive IRPF scale, a substantial general base reaches the top marginal rate comparatively quickly, whereas the regime holds the rate flat across a broad band.
| Type of income | Treatment under the regime |
|---|---|
| Qualifying general base up to €600,000 | Flat 24% |
| Qualifying general base above €600,000 | 47% |
| Savings income (dividends, interest, capital gains) | Analysed separately — not the flat general-base rate |
The word to hold onto is qualifying. The flat rate applies to the qualifying general base, and the general base is not the same thing as "all the money you receive". Dividends and capital gains sit outside it. For a full walk-through of how the flat rate reaches activity income, see our note on whether the 24% rate applies to self-employed income.
Savings income under the regime
Savings income is a defined category in Spanish income tax, and it broadly captures the returns you earn from capital rather than from work or activity. In practice, that includes many dividends from shares, interest on deposits and bonds, and most capital gains arising on the transfer of assets such as shares, funds, property or other investments. These items are pooled into the savings base and taxed on their own scale — a progressive scale, but one that is entirely separate from the flat 24% and 47% rates that govern the general base.
Electing the Beckham Regime does not convert dividends and capital gains into 24% income. Savings income is deliberately carved out of the flat general-base rate and analysed under its own rules.
This is why two people who both "have the Beckham Regime" can experience very different overall tax burdens. A salaried professional whose income is almost entirely activity income sees most of it fall into the favourable general base. A founder whose wealth is concentrated in equity and dividends finds that a smaller share of their total receipts benefits from the flat rate, because the savings portion is treated on its own footing.
Spanish-source versus foreign-source savings income
The most important — and most often misunderstood — feature of the regime for investors is that it taxes an electing individual broadly as a non-resident for the covered years. For savings income, this has a striking consequence: the geographic source of the income matters enormously.
Under ordinary Spanish residence, a resident is taxed on worldwide income, so foreign dividends and foreign capital gains are within the Spanish net. Under the regime, by contrast, because the individual is taxed on a non-resident-style basis, foreign-source savings income is generally outside the Spanish tax net, while Spanish-source savings income is taxed under the savings-income rules. This distinction can be far more valuable than the headline 24% rate for an investor who holds foreign assets.
- Spanish-source savings income — for example, dividends from a Spanish company or gains on the transfer of certain Spanish assets — is generally taxed in Spain under the savings scale.
- Foreign-source savings income — for example, dividends from a foreign company or gains on the transfer of foreign assets — is generally outside the Spanish net under the regime, though it may still be taxed in the source country and, for some individuals, in their country of citizenship.
Article 93 and the "deemed obtained in Spain" rule
The engine behind the regime is a deeming rule. Under Article 93, an electing individual is taxed broadly under non-resident income tax principles, but with an override: the total income from entrepreneurial activities qualified as such, together with employment income obtained during the application of the regime, is deemed obtained in Spanish territory wherever it is actually paid or sourced. That deeming rule is what pulls qualifying activity and employment income into the favourable general base.
The deeming rule has a mirror image that founders and investors must respect. It applies to qualifying activity and employment income — it does not extend to savings income. Dividends, interest and capital gains are not swept into Spain by this rule; they are analysed under the ordinary source rules for a non-resident. This is precisely why the source distinction above is so important: for savings income, whether Spain can tax it turns on where the income arises, not on the deeming override that governs activity income.
The deeming rule pulls in qualifying activity and employment income. It does not pull in dividends, interest or capital gains — those follow the source rules.
Because the outcome depends on the character of the income (is it activity income or savings income?) and, for savings income, on its source (Spanish or foreign?), the classification exercise is not academic. It is the mechanism through which each euro either does or does not fall into the Spanish net, and at which rate. To understand how ownership of a foreign operating company complicates this further, see our note on foreign company owners and permanent establishment.
Founders with equity and share sales
Founders rarely hold a clean, single income stream, and their wealth is often concentrated in equity that only crystallises on a liquidity event. When a founder sells shares, the resulting capital gain is savings income — not general-base income — so it is not taxed at the flat 24% general-base rate. Whether Spain taxes the gain at all then depends on whether the shares are a Spanish-source asset, which requires individual analysis under the regime's non-resident-style rules.
- Share sales — a gain on disposing of shares is a capital gain and therefore savings income; the source and character of the shares drive whether Spain taxes it.
- Equity and stock options — the tax point, valuation and character depend on the instrument and when it vests or is exercised; the Startup Act introduced specific rules for start-up equity that interact with the regime and must be reviewed individually.
- Carried interest — the classification of carried interest is nuanced and fact-specific and should never be assumed to enjoy the flat rate.
The practical lesson is that the timing and structure of an equity event can matter as much as the regime itself. A share sale planned with an eye to the source rules and the year of disposal produces a very different outcome from one that simply happens after the founder has moved. This is planning that belongs in the months before relocation, not in the tax return afterwards. For the full eligibility and process picture, see our Beckham master guide.
Dividends: Spanish company versus foreign company
Dividends are the clearest illustration of why the source distinction dominates the analysis. A distribution is savings income wherever it comes from, so it never enters the flat 24% general-base rate. But whether Spain taxes it depends on where the paying company sits.
- Dividends from a Spanish company — generally Spanish-source savings income, taxed under the savings scale.
- Dividends from a foreign company — generally foreign-source savings income, which under the regime's non-resident-style treatment is generally outside the Spanish net, though it may be taxed in the source country and, for some individuals, in their country of citizenship.
For a founder who owns an operating company abroad, this cuts two ways. Foreign dividends may fall outside the Spanish net — a genuine advantage — but the ownership itself invites scrutiny. If a foreign company is effectively managed from Spain, Spain may argue the company is tax resident here; if it operates through a fixed place or dependent agent in Spain, Spain may argue there is a permanent establishment. Either finding can change the whole picture, which is why the founder's role and the company's presence must be reviewed together before relying on any headline treatment.
Crypto, interest and other savings income
The same framework applies to a wide range of modern investment returns, though each has its own wrinkles that must be checked individually.
- Crypto assets — a gain on disposing of a crypto asset is generally a capital gain and therefore savings income, not general-base income; the source analysis for a fundamentally borderless asset is technical and must be examined case by case.
- Interest — interest on deposits and bonds is savings income; whether Spain taxes it depends on whether it is Spanish-source or foreign-source under the regime.
- Fund distributions and gains — returns from collective investment vehicles are typically savings income, and for US persons certain non-US funds can also raise passive foreign investment company (PFIC) issues on the US side.
The misconception that "Beckham means 24% on everything"
The most damaging assumption an investor can carry into a relocation is that electing the regime turns every euro into a 24% euro. It does not. The flat rate is a general-base rate. Savings income is carved out and analysed separately, and for foreign-source savings income the real question is not the rate at all but whether Spain taxes the item in the first place.
This means a founder with large investment income may find that a smaller share of their total receipts benefits from the flat rate than they assumed — and, at the same time, that a large part of their foreign investment return may sit outside the Spanish net entirely. Both effects flow from the same non-resident-style logic, and both are invisible if you reduce the regime to a single number on a brochure.
Why individual analysis is essential
Everything above points to a single conclusion: for anyone whose wealth is in equity, dividends and investments, the value of the regime is decided not by the headline 24% but by how each stream is classified and sourced on the day the regime begins to apply. That analysis is inherently individual, because it depends on the exact instruments held, where the paying entities sit, when assets are disposed of, and — for US and other citizenship-taxed individuals — a second tax system running in parallel.
A sensible pre-move review of savings income usually covers:
- Separating every stream into general base or savings base, so the genuinely qualifying share is clear.
- Mapping each item of savings income as Spanish-source or foreign-source under the regime's non-resident-style rules.
- Reviewing any foreign company for effective-management and permanent-establishment risk once the founder is living in Spain.
- Timing equity events, share sales, crypto disposals and dividend distributions with an eye to both the regime and, for US persons, the US rules.
- Confirming the election mechanics and deadlines so the regime actually applies from the intended year.
Done properly, this replaces the vague hope that "Beckham covers everything" with a clear, defensible picture of what is taxed in Spain, what is not, and at what rate. That is the difference between a headline and a number you can rely on when you move your life and your capital to a new country. When you are ready, you can book a private consultation and we will map your savings income before you decide.
Frequently asked questions
Does the Beckham Regime cover capital gains and dividends?
Not at the flat 24% rate. Capital gains, dividends and interest are savings income, taxed separately from the general base. For foreign-source savings income, the regime's non-resident-style treatment often means Spain does not tax it at all — but this must be confirmed for each item.
Are my foreign dividends taxed in Spain under the regime?
Generally foreign-source savings income falls outside the Spanish net under the regime, while Spanish-source dividends are taxed under the savings scale. Foreign dividends may still be taxed in the source country and, for some individuals, in their country of citizenship.
How is a sale of my company shares taxed?
A gain on selling shares is a capital gain and therefore savings income, not general-base income, so it is not taxed at the flat 24% rate. Whether Spain taxes it depends on whether the shares are a Spanish-source asset, which needs individual analysis.
Is crypto covered by the flat 24% rate?
No — a gain on disposing of a crypto asset is generally a capital gain and therefore savings income, analysed under the savings rules and the source analysis, not the flat general-base rate.
General information, not tax advice. Grounded in Article 93 of the Personal Income Tax Act (as amended by Law 28/2022). Rates, thresholds and rules change and must be confirmed for your circumstances and year.