As the international mobility of high-net-worth individuals (HNWIs) becomes increasingly common, the tax implications of relocating one’s tax residence are coming under closer scrutiny. This is especially relevant for individuals holding assets with substantial unrealised gains — such as cryptocurrencies — who are considering relocation to low-tax jurisdictions.
In this context, the Spanish Tax Authority (Dirección General de Tributos, or DGT) has recently issued Binding Tax Ruling V0666/2025 (dated 14 April 2025), addressing a key question: Are cryptocurrency holdings subject to the Spanish “exit tax” under Article 95 bis of the Personal Income Tax Law (LIRPF)?
The answer is categorical: no, they are not. Below, we analyse the implications of this position from a legal and strategic perspective.
The Case at Hand
The DGT ruling examines the case of an individual taxpayer who, acting outside any business or professional activity, holds various cryptocurrencies — including bitcoin — and relocates his tax residence to Andorra in early 2024.
The taxpayer raises a straightforward question: Does this relocation trigger an exit tax on the latent gains associated with his cryptocurrency holdings, pursuant to Article 95 bis LIRPF?
The Tax Authority’s Position
The DGT begins by referencing two key legal definitions:
- The EU Regulation 2023/1114 (MiCA), which classifies crypto-assets as digital representations of value or rights that can be transferred and stored electronically through distributed ledger technology.
- The Spanish Anti-Money Laundering Act (Law 10/2010), which defines virtual currencies as digital representations of value not issued or guaranteed by any public authority and accepted as a medium of exchange.
Drawing from these definitions, the DGT reiterates its well-established position that cryptocurrencies such as bitcoin are intangible assets. They do not confer any form of ownership, voting rights, or economic participation in an entity. They are, in essence, digital assets with no underlying corporate link.
Accordingly, the DGT confirms that cryptocurrencies do not fall within the scope of Article 95 bis LIRPF, which only applies to shares or equity interests in any type of entity. Therefore, no exit tax is triggered upon relocation solely by virtue of holding cryptocurrencies.
What About Other Types of Cryptoassets?
Importantly, the DGT qualifies its response by noting that other types of cryptoassets — for instance, tokens that confer economic or governance rights over an entity — may require a case-by-case assessment to determine whether they fall within the exit tax regime.
This opens the door to a differentiated treatment for cryptoassets such as asset-referenced tokens (ARTs) or tokenised equity, which may, in substance, represent participations in legal entities or investment vehicles. In such cases, the economic and legal characteristics of the token must be carefully analysed to determine whether Article 95 bis applies.
Planning Considerations for International Private Clients
From a wealth planning standpoint, the ruling provides welcome clarity and opens up a legitimate tax planning opportunity for internationally mobile clients.
Specifically:
- Relocating from Spain with cryptocurrency holdings does not trigger immediate taxation on unrealised gains under the current legal framework.
- Such assets may later be sold or disposed of without Spanish taxation, provided that Spanish tax residence has been duly relinquished and no anti-avoidance provisions apply.
- However, caution is warranted for more complex or hybrid crypto structures, which may involve equity-like rights.
This interpretation is particularly relevant for HNWIs, entrepreneurs, and digital asset investors considering a relocation to favourable jurisdictions, such as Andorra, Italy (under the new HNWI regime), or other low-tax jurisdictions within the EU or EEA.
A Comparative Glance
Spain’s exit tax, as currently configured, is narrower in scope than its counterparts in other EU jurisdictions.
- In France, Germany, or the Netherlands, the exit tax often extends to a broader range of financial and intangible assets, not just equity interests.
- Spain, by contrast, has opted for a more limited design, which is in line with the principle of proportionality developed by the Court of Justice of the EU (CJEU) in National Grid Indus (C-371/10).
This provides a degree of legal certainty for taxpayers, though it also highlights the importance of bespoke legal advice when structuring cross-border relocations.
Final Remarks
The DGT’s ruling in V0666/2025 confirms that standard cryptocurrencies are excluded from the Spanish exit tax regime, provided they do not represent equity or control rights in an underlying entity.
This reinforces the legal predictability of Spain’s tax framework and provides a valuable planning tool for individuals with digital asset portfolios.
Nevertheless, given the evolving nature of crypto markets and regulation — particularly under the incoming MiCA framework — a careful legal characterisation of each asset type is essential before any relocation.
Lullius Partners advises HNWIs, family offices and international clients on cross-border tax structuring and mobility strategies. Should you wish to explore the implications of this ruling in your specific case, please reach out to our International Tax team.
