How We Calculate Your Taxes

The Andorra Tax Calculator estimates your annual tax burden across 9 countries based on your gross income and professional profile. It calculates income tax, corporate tax, social security contributions, and dividend taxation to produce a net take-home comparison. The goal is to give you a clear, side-by-side view of how much you would pay in each jurisdiction — so you can make informed decisions about tax residency.

For each country, the calculator computes:

• Income Tax (IRPF/IR) — Progressive brackets applied to gross salary or self-employment income. Each country's official 2026 brackets are used.
• Corporate Tax (IS/IRC) — For company owner profiles, applied to company profits before dividend distribution.
• Social Security (CASS/SS) — Employee and employer contributions calculated separately. Includes CASS in Andorra, Sécurité Sociale in France, Seguridad Social in Spain, National Insurance in the UK, etc.
• Dividend Tax — Tax applied when company profits are distributed as dividends to the owner. Andorra applies 0% on local dividends.
• Investment Income Tax — Taxation on dividends, interest, and rental income from passive investments.
• Net Take-Home Pay — Gross income minus all taxes and contributions = what you actually keep.

This calculator is a simplified estimation tool. It does not account for:

• Regional or municipal taxes (e.g., Spanish comunidad autónoma surcharges)
• Tax deductions, credits, or allowances beyond the standard personal allowance
• Double taxation treaties between specific country pairs
• Non-salary income sources (rental income, capital gains, pensions) in the main comparison — though investment income has its own tab
• VAT/IGI — indirect taxes are not included in the personal tax comparison
• One-time costs like company formation fees or immigration costs
• Changes in tax law after March 2026

The calculator assumes you are a tax resident of the country being compared — meaning you spend 183+ days per year there and are subject to that country's worldwide income taxation. For Andorra specifically, this means you hold active residency (autorització de residència i treball) or passive residency with 90+ days. The calculator does not model transitional periods, split-year residency, or non-dom regimes.

Andorra's social security (CASS) is calculated as follows:

• Employees: 6.5% employee contribution + 15.5% employer contribution = 22% total on gross salary, capped at a maximum contribution base.
• Self-employed: Fixed monthly quota of approximately €563/month (€6,756/year), regardless of income.
• Company owners: CASS is applied on the salary component drawn from the company, not on dividends.

For other countries, equivalent social security systems are modeled: Sécurité Sociale (France), Seguridad Social (Spain), National Insurance (UK), Social Security + Medicare (USA), etc. Caps and ceilings are applied where they exist.

For the "Company Owner" profile, the calculator models a company that earns gross revenue, pays corporate tax, and distributes remaining profits as dividends:

1. Corporate tax is applied to gross profits at the country's rate (Andorra: 10%, Spain: 25%, France: 25%, etc.)
2. Dividend tax is applied to the after-tax distribution (Andorra: 0% for local dividends, Spain: 19-28%, France: 30% flat tax, etc.)
3. The owner also draws a salary subject to income tax and social security.

The salary/dividend split is optimized for Andorra's structure: minimal salary to cover CASS, remainder as dividends at 0% tax.

All tax rates and brackets are sourced from official government publications and reputable tax references:

• Andorra: Govern d'Andorra (govern.ad), CASS (cass.ad)
• Spain: Agencia Tributaria (agenciatributaria.es)
• France: Direction Générale des Finances Publiques (impots.gouv.fr)
• United Kingdom: HMRC (gov.uk)
• Portugal: Autoridade Tributária (portaldasfinancas.gov.pt)
• USA: IRS (irs.gov) + average state tax approximation (~5%)
• Argentina: AFIP (afip.gob.ar)
• Peru: SUNAT (sunat.gob.pe)
• Dubai/UAE: Federal Tax Authority (tax.gov.ae)
• Cross-reference: PwC Tax Summaries (taxsummaries.pwc.com)

This calculator provides estimates for informational purposes only. It is not tax advice, and it does not replace consultation with a qualified tax professional. Tax situations vary significantly based on individual circumstances, applicable treaties, deductions, and regulatory changes. Always consult a licensed tax advisor before making residency or relocation decisions. The operators of Andorra Tax Calculator accept no liability for decisions made based on these calculations.