As of March 2025, the Spanish Tax Agency (AEAT) has made one thing unmistakably clear: beneficiaries of the Special Expatriate Tax Regime, widely known as the Beckham Law, are now under intensified scrutiny. What was once considered a streamlined, advantageous tax option for foreign professionals relocating to Spain has evolved into a strategic risk area—subject to detailed audits, document reviews, and legal challenges. And for those relying on this regime, the implications are significant—not just now, but for years to come.
At Lullius Partners, we’ve spent over six years advising and defending clients under this regime, including numerous high-net-worth individuals, senior executives, entrepreneurs and public figures. We know the law inside out—not just how to apply it, but how to defend it, structure it, and future-proof it.
At Lullius Partners, we are proud to be the only tax law firm in Mallorca—and one of the very few in Spain—fully specialised in tax litigation (tax controversy). Unlike generalist advisors or compliance-only firms, we combine technical tax expertise with hands-on experience in defending clients before the Spanish Tax Agency at every stage: from inspection to appeal, and all the way to court, if necessary. We don’t speculate—we litigate. We know how the AEAT thinks, how it acts, and how to build strategies that withstand the pressure. That’s why when we speak about risk, eligibility and defence, we speak from experience—not theory.
This article explores how the landscape is shifting, and why now—more than ever—substance, foresight and experienced legal guidance are essential.
The Beckham Law Was Never Meant to Be Easy
Introduced to attract international talent to Spain, the Beckham Law allows qualifying individuals to be taxed as non-residents for up to six years, at a flat rate of 24% on Spanish employment income up to €600,000 annually, with most foreign income remaining untaxed.
But the AEAT has recently stepped up its oversight—transitioning from passive approval to active investigation. According to recent reports (source), the authorities are currently focused on detecting:
- Artificial Employment Relationships: Ensuring that the move to Spain is genuinely linked to a new job—not merely the requalification of an existing one.
- Substance of Foreign Employers: Verifying that overseas companies have real infrastructure and personnel, not just legal presence or virtual offices.
- False Self-Employment Structures: Detecting so-called “false entrepreneurs” using shell companies to appear self-employed while functioning as de facto employees.
This reflects a broader pattern: anyone under a preferential tax regime in Spain is likely to be closely monitored. The Beckham Law is no longer a simple administrative procedure—it is a potential inspection file in the making.
The Hidden Risk: A Decade of Exposure
While many advisors sell the Beckham Law as a simple tax break, the legal reality is far more complex. What most beneficiaries overlook is that even after approval, the AEAT can challenge any year of the regime (up to six)—and has four additional years per year declared to investigate or reassess your tax position. That’s a potential 10-year exposure window.
What appears to be a straightforward benefit can quickly become a minefield of audits, disputes, back taxes, interest, penalties—and reputational risk.
The Illusion of Simplicity: When Advice Becomes a Liability
Today, a growing number of online platforms, firms and tax advisors offer Beckham Law application services, often marketed as quick, low-cost and hassle-free.
Their model is transactional: gather a few documents, submit a form, and celebrate the approval.
What’s missing?
- No assessment of whether the employer qualifies.
- No analysis of how group structures or shareholdings may disqualify the taxpayer.
- No legal review of the contractual terms or relocation narrative.
- No defence strategy in case of inspection.
These services may secure the regime in the short term. But they offer no protection for what comes next.
Why Lullius Partners Is Not Just Another Tax Advisor
At Lullius Partners, we’re not processors. We’re legal architects and tax litigators. We build tax strategies that are future-proof and fully defensible.
Our firm is not a volume-based tax firm—we are a boutique law firm recognised for our work in international taxation, private wealth and tax litigation. We treat every Beckham application as a legal matter—not an administrative one. Our clients come to us because they need more than a rubber stamp: they need clarity, control, and confidence.
What sets us apart:
- Strategic Eligibility Assessment: We perform an in-depth legal and tax analysis of your situation, including employment relationships, group structures, residency risks, and economic substance—before you file.
- Pre-emptive Defence Planning: We don’t wait for the AEAT to knock. We prepare your file as if it will be audited.
- We Are Tax Litigation Lawyers: Our tax litigation team (Tax Controversy) has successfully defended, Beckham regime beneficiaries in tax inspections, administrative claims and court proceedings across Spain.
- Discretion and Reputation Management: Especially for clients in the public eye, we understand that discretion and image are paramount. We act accordingly—always.
Filing an application is not the end. It’s the beginning of a long-term legal commitment with Spain’s tax authorities.
With growing scrutiny from the AEAT, fast-track solutions are no longer viable. Real planning means looking beyond year one. It means preparing today for what the authorities may question in 2029. It means partnering with a firm that doesn’t just know how to apply the law—but how to defend it when it matters most.
Tax Benefits Should Never Become Legal Risks
The Spanish Tax Agency’s latest actions send a strong message: Spain welcomes international talent—but not at the expense of tax transparency or compliance.
If you are considering relocating to Spain under the Beckham Law—or if you are already benefiting from it—you must ask not just can I apply, but should I, how, and with whom?
At Lullius Partners, we combine technical excellence, strategic insight and proven tax litigation experience to ensure your relocation is not only tax-efficient, but fully safeguarded for the years to come.
Because true peace of mind doesn’t come from a form—it comes from knowing you’re protected.
