Crypto taxation in Andorra.

For a cryptocurrency holder, the tax difference between countries can quickly amount to tens of thousands of euros. Andorra has established itself as one of Europe's most attractive jurisdictions in this regard — not through opacity, but through a light tax burden combined with a solid legal framework.

How Andorra taxes your crypto capital gains

Capital gains realised on the disposal of cryptocurrencies by an Andorran tax resident are subject to income tax at a maximum of 10 % — and 0 % on the first bracket. Mere holding is not taxed (no wealth tax), and only the realisation of a gain triggers taxation. By comparison, France applies 30 % (flat-rate withholding). The gap speaks for itself.

Investor or trader: the distinction that matters

Not all profiles are treated alike. A long-term investor falls under capital gains treatment (up to 10 %). A habitual trader — operating frequently, in an organised manner and at high volume — may have their activity reclassified as business income, still within the 10 % ceiling but under its own rules. The tax authority looks at the frequency of transactions, volumes, and intent. Defining your profile correctly from the outset prevents unpleasant surprises: this is precisely where our advice adds value.

A clear legal framework, a transparent approach

Andorra leaves nothing to chance: Law 24/2022 on digital assets provides a legal framework for crypto and blockchain activities (companies, tokens, services). The Principality also applies automatic exchange of information, extended to digital assets: this transparency is an asset, not a constraint. It makes your position bankable, recognised, and sustainable — a world away from the fragile structures of yesterday.

Andorra vs France: the crypto gap

Do you hold or trade crypto and are considering Andorra? We structure your tax residency and, where needed, your company, securing your crypto position from day one.