On 12 February 2026, Law 2/2026 of 22 January, on the continuity and consolidation of measures for sustainable growth, was published in the BOPA, entering into force the day after publication (i.e., 13 February 2026).
This law reinforces and fine-tunes the recent framework on sustainability and housing, and introduces specific measures in immigration, commerce, and taxation linked to foreign real estate investment.
Why is this Law being adopted (and what does it aim to achieve)?
The Omnibus law starts from a clear idea: growth must be compatible with social cohesion and environmental preservation, which requires adapting the rules to the demographic and real estate pressure of recent years. In its preamble, it is expressly linked to the SDGs of the 2030 Agenda and the need for “coherent, proportionate and gradual” development.
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1) Immigration: more control, more order, and new temporary pathways
1.1. Temporary and cross-border permits: non-renewable and with a “waiting period”
Temporary and cross-border authorisations remain non-renewable, and it is established that, once their validity has expired, a new temporary authorisation may not be requested until the period determined by regulation has elapsed. It is also provides that, if there were breaches in the previous season, a new authorisation may be prevented.
1.2. New authorisation: “recruitment at origin” (collective processing)
A new type of temporary immigration authorisation for recruitment at origin is introduced, designed to streamline the collective management of contracts in the country of origin, under a regime to be developed by regulation.
Associated fee: a specific fee is created for the issuance of this authorisation, in the amount of €190.96, with the employer being the taxpayer in the cases provided for.
1.3. Workers of foreign companies: more flexibility (and more conditions)
The framework for temporary authorisations for workers of foreign companies is expanded, with the possibility of an exceptional extension until the effective completion of work (subject to an overall maximum duration) and the option of relocation for justified reasons, always with prior notification.
1.4. “Overnight stay outside Andorra”: proof of legal residence
Where the authorisation requires an overnight stay outside Andorra, the person must prove legal residence in the country of domicile, as will be determined by regulation.
1.5. Self-employed: authorisation reservation and a key change to the “deposit”
For residence and work as self-employed, the reservation mechanism is also introduced for qualified professionals (with a deadline to provide supporting requirements). And the most significant change: the €50,000 amount becomes a final non-refundable payment (except in cases of initial refusal), with subsequent transfer to the ministry responsible for finance.
Practical implication: this affects the financial planning of entrepreneurs and investors applying as self-employed, because it is no longer a deposit recoverable under normal conditions.
1.6. Residence without gainful activity: new asset type, limits and higher minimum investment
For residence without gainful activity, a new investment route is introduced through debt or financial instruments issued by resident entities and Andorran collective investment funds, but with a maximum limit of 36 months; thereafter, the investment must be redirected to other assets in order to continue counting. In addition, the minimum investment in Andorran assets is increased to €1,000,000.
Likewise, the change regarding the “deposit” applies: €50,000 for the main holder and €12,000 per dependent, as final non-refundable payments (except in cases of initial refusal).
2) Housing and foreign investment: refining the concept and ending a transitional regime
- Clarifying who is considered a foreign investor in certain cases, including the treatment of resident individuals with less than 3 years of effective residence within the previous 10 years for foreign real estate investment purposes, with nuances (e.g., studies).
- Repealing the third transitional provision of Law 5/2025 (thereby removing the transitional regime that had already had time to apply).
3) Commerce: greater regulatory capacity for orderly growth and a new criterion for large establishments
3.1. Government: commercial policy with a sustainability approach
The Government’s competence to establish commercial policy is expressly reinforced to ensure sustainable and orderly urban and demographic growth, and it is granted the power to impose, by regulation, limitations or requirements for activities with significant impact (without prejudice to municipal competences).
3.2. Authorisations and the role of the Comú: binding decision
The mechanism for authorising openings/modifications/closures is strengthened: the competent minister decides based on the municipal decision (binding) and compliance with the requirements, with reasoned decisions where appropriate.
3.3. Large establishments: the “labour market” factor is introduced
For the prior authorisation of large commercial establishments, a new criterion is added when the project concerns an individual establishment: impact on the labour market and the hiring policies the company will apply, in addition to accessibility, mobility, environmental impact and sectoral economic effects.
4) Tax on foreign real estate investment: who pays and which rates apply
4.1. Taxpayers: includes “recent” residents (3/10 rule)
Taxpayers include, among others:
- Non-resident individuals, and
- Resident individuals who carry out foreign real estate investment and cannot prove 3 years or more of effective and permanent residence within the previous 10 years (except where the absence is due to studies).
4.2. Tax rates: 6% vs 10%, with a tiered logic and aggregation
The law sets:
- 6% for investments up to certain limits (e.g., one plot with one single-family home, or one dwelling—flat/apartment/studio—with limited annexes).
- 10% for other investments that exceed those limits, or if ownership/title/participation is not maintained under the required conditions.
In addition, the applicable rate is determined progressively in tiers based on the total number of real estate units invested in (also taking into account prior investments since entry into force), and in cases of linked entities/persons, the calculation may be aggregated.
Transitional regimes: what happens to ongoing files and transactions
The law includes relevant transitional provisions:
- Tax on foreign real estate investment: investments authorised after entry into force are subject to the new rates; however, if the authorisation request was filed before adoption, the previous rates apply. There is also a 6-month window to evidence a prior agreement of intent with an associated economic transaction.
- Self-employed and residence without gainful activity: applications submitted before adoption continue to be governed by the previous applicable regulations.
What we recommend doing (depending on your profile)
If you are a company and you hire staff
- Review the processes for temporary, cross-border permits and especially the new recruitment at origin (once developed by regulation), incorporating the fee cost and internal compliance controls.
- If you contract services from foreign companies, ensure notification procedures and execution conditions to avoid contingencies.
If you are an entrepreneur or professional (self-employed)
- Rework the numbers under the new scheme: the €50,000 payment as a non-refundable amount changes the entry strategy and the timing of reservation/execution.
If you are a real estate investor or have ongoing transactions
- Determine whether you fall within the scope of “foreign real estate investment” (including the 3/10 rule for recent residents) and model the impact of the 6% / 10% rates and tiering by total volume, especially with linked structures.
- Check whether you can benefit from the transitional regime (request filed earlier or proof of a prior agreement within 6 months).
