Personal accounts: Andorra

Updated 7 October 2026

An honest assessment before work starts, the quote is fixed in writing.

Andorra is a small Pyrenean state between Spain and France that uses the euro under a monetary agreement with the EU. Its banking sector is compact: a few banking groups supervised by the Andorran Financial Authority, which licenses banks and oversees them. Andorran banks mainly serve the country's residents and companies, so an account is usually opened together with relocation or setting up an Andorran company.

Taxes that matter for the account

• Corporate income tax is 10%.
• Indirect tax on goods and services, similar to VAT, is 4.5% at the general rate.
• Non-residents' income tax on Andorran-source income is 10%.

Low rates attract entrepreneurs, but the bank checks that the company and its owner genuinely have ties to Andorra. If you are buying a home there, see also property in Andorra.

Living in Andorra and the account

Banks prefer residents. Active residence is tied to work or your own business in Andorra; passive residence is for people living on income from elsewhere. Since 13 February 2026, under Law 2/2026, passive residence has three routes: EUR 1,000,000, about $1,121,000, in Andorran assets, EUR 800,000, about $896,800, in residential property, or EUR 400,000, about $448,400, in the national housing fund. Add a EUR 50,000 deposit, about $56,100, now non-refundable with few exceptions, and a contribution for each dependant, and you must live in the country at least 90 days a year. Non-resident foreigners need a foreign investment authorisation to buy property, and the purchase is subject to the foreign real estate investment tax.

What the bank checks

• residence in Andorra or a relocation plan with a residence permit;
• the source of funds and wealth, especially for large amounts;
• for a company, registration in Andorra, foreign investment authorisation where required and real activity;
• tax residence: Andorra exchanges account information with other countries' tax authorities.

Documents

• passport and a second identity document;
• proof of address;
• a reference letter from a bank where you already hold an account;
• proof of income, source of funds and wealth;
• tax residence details.

Why applications are refused

• no link to Andorra, with the account wanted only as a foreign account;
• an unverified source of funds;
• links to sanctioned countries;
• activity the bank considers high risk.

What we do

We assess the chances, choose a bank, prepare the document file and source-of-funds explanation, and support the application and bank meeting. If you are relocating, we set the order: residence permit, company, account. A manager will calculate the cost in the chat.

How Andorran banks work

Andorra has only a few banking groups, all focused on private banking for wealthy clients. So the bank looks not only at documents but at how much you are ready to place and why you need an account in Andorra in particular: living there, residence, a company or wealth management.

Deposit protection and information exchange

• Deposits are insured by the Andorran deposit guarantee fund up to €100,000, about $112,100, per depositor per bank, and in some cases up to €300,000.
• Andorra takes part in automatic exchange of financial information: account details go to your country of tax residence.

The account and residence

For passive residence the money goes through an Andorran bank. Under Law 2/2026, in force since 13 February 2026, you invest EUR 1,000,000, about $1,121,000, in Andorran assets, EUR 800,000, about $896,800, in a home or EUR 400,000, about $448,400, in the national housing fund, and make a non-refundable EUR 50,000 payment, about $56,100, to the Andorran Financial Authority, which replaced the former refundable deposit. So a local bank account is one of the first steps.

Taxes for an Andorran resident

There is no inheritance, gift or wealth tax. A tax resident is someone who spends more than 183 days a year in Andorra or keeps their main centre of interests there. Dollar amounts use the European Central Bank rate of 5 October 2026, rounded up.

Documents for the account

• Passport and proof of address.
• Source of wealth documents: sale of a business or property, inheritance, income.
• A reference letter from a current bank.
• A tax residence certificate or your taxpayer number.

What we do

• Personal account - opening assistance

See also

Company formation · Business account · Investment property

FAQ