Freelancing in Spain with US clients: VAT, tax and RETA

November 5, 2026

Freelancing in Spain with US clients

A service you invoice to a US business client is generally not subject to Spanish VAT, because the place of supply is where the business customer is established [1].
You must still issue a proper Spanish invoice and file Modelo 303 every quarter and Modelo 390 every year, even when no VAT is due [2][3].
US clients do not withhold Spanish income tax, so you normally pay 20% of your year-to-date net profit on Modelo 130 each quarter [4].
If you live in Spain and work for yourself, the US-Spain social security agreement makes you contribute in Spain only, under the 2026 income-based RETA tables [10][12].
On the digital nomad visa, a self-employed holder may work for Spanish companies only up to 20% of total professional activity [13].
Delaguía y Luzón advises on Spanish law only: US self-employment tax, Form 1099 and the foreign earned income exclusion must be confirmed with a US adviser [20][21][22].

Who this guide is for and what it covers

Freelancing in Spain with US clients means living in Spain, registering as an autónomo (self-employed person) and invoicing companies in the United States.

This guide is for American freelancers, consultants, and independent contractors who already live in Spain or are about to move, and it states the Spanish position as of November 2026.

It concentrates on what changes when your clients are in the US: VAT, invoices, quarterly payments, social security, and visas.

Delaguía y Luzón is a Spanish law firm, so anything said here about the IRS is a pointer for your US adviser, not advice.

Registration in brief: what changed for new autónomos

The full registration process is explained in our guide to becoming self-employed in Spain, so here we only flag the points US freelancers often get wrong.

Older guides still mention Modelo 037, but the Tax Agency abolished it through Order HAC/1526/2024, in force since 3 February 2025, so the census filing is now Modelo 036 for everyone [6].

On Modelo 036 you choose an IAE activity heading, and individuals are exempt from paying the IAE business tax itself, although the heading still matters for your VAT and income tax treatment [7].

Registration with the self-employed social security scheme (RETA) is a separate step with the Social Security Treasury.

For freelancing in Spain with US clients, the activity description on Modelo 036 should match what you actually sell, because it supports the VAT position on your invoices.

VAT when you invoice a US business

Article 69 of the VAT Law treats a service supplied to a business customer as supplied in Spain only when the customer’s business is established in Spain [1].

A US company receiving your design, software, consulting or writing services is established outside Spain, so the service is not subject to Spanish VAT [1].

Since Law 13/2023, the “use and enjoyment” override in article 70 applies to services to private consumers and to transport hire, not to business clients [1].

Exceptions remain, such as services connected with property located in Spain, which are taxed where the property is [1].

Under article 69 of Law 37/1992, a service to a business customer is taxed in Spain only when that customer is established in Spain, so no Spanish VAT is charged to a US business client [1].

The reverse-charge wording and the EU operators register (ROI) only matter for business clients in other EU countries, which our page on VAT registration in Spain for foreign businesses covers.

A US client is outside the EU, so you do not need a VIES number to invoice it.

Private clients in the US

For private individuals outside the EU, article 69 lists services such as consultancy, advertising, data processing, translation and intellectual property licences as not supplied in Spain [1].

Other services to US consumers, such as some online or personal services, need a case-by-case check before you invoice them.

You can still recover Spanish VAT on your costs

Article 94 of the VAT Law allows you to deduct the Spanish VAT you pay on business costs when they are used for services performed outside Spain that would carry the right to deduct if performed in Spain [1].

That means the VAT on your laptop, coworking desk or software can be claimed back on Modelo 303, provided you keep proper invoices in your name.

Client	Spanish VAT on the invoice	Spanish income tax withheld by client	Extra filings
US company	None: not subject (art. 69)	No	Report on Modelo 303; pay Modelo 130
Spanish company	21% Spanish VAT	Yes: 15%, or 7% in your first years	Modelo 303; Modelo 130 may not be due if 70% of income is withheld
Company in another EU country	None: the client self-assesses (reverse charge)	No	ROI registration and Modelo 349

Sources: Law 37/1992, arts. 69 and 70 [1]; Royal Decree 439/2007, arts. 76, 95 and 109 [4].

Invoicing US clients correctly

Article 2 of the Invoicing Regulation requires an invoice for every service you provide in your activity, including services that are not subject to VAT [2].

Article 6 sets the minimum content, and these items apply to a US invoice as much as to a Spanish one [2].

A correlative number, within a series if you use several.
The date of issue, and the date of the service if different.
Your full name, your Spanish NIF or NIE and your address.
The client’s full company name and address.
A description of the service, the unit price and any discount.

The regulation does not prescribe a sentence for services outside the scope of Spanish VAT, but a short note such as “Not subject to Spanish VAT, article 69 Law 37/1992” explains the zero VAT to the client and to the Tax Agency.

Article 12 allows invoices in any currency and any language, provided any VAT charged is shown in euros [2].

Your Spanish returns are in euros, so record the euro amount you received for each dollar invoice.

Freelancing in Spain with US clients often involves platforms or agencies that pay you; the invoice should go to whoever is legally buying your service.

Verifactu and billing software

Royal Decree 1007/2023, as amended by Royal Decree-Law 15/2025, requires invoicing software used by autónomos to meet the Verifactu requirements before 1 July 2027 [14].

The Ministry of Finance has announced a further delay to October 2028, but at 23 October 2026 the BOE text still shows the 2027 dates, as our note on the Verifactu delay explains [14].

Thinking of invoicing through a US company instead of in your own name? Read our analysis of owning a US LLC while living in Spain before you set one up.

Income tax: why US clients mean quarterly payments

As a Spanish tax resident you pay Spanish income tax (IRPF) on your worldwide income, and most freelancers calculate their profit under the simplified direct assessment method (estimación directa simplificada).

The simplified method is available when the previous year’s turnover did not exceed €600,000, and it adds a 5% allowance for hard-to-justify expenses, capped at €2,000 a year [4].

A Spanish company paying a professional must withhold 15%, or 7% in the year you start and the two following years [4].

A US company with no permanent establishment in Spain is not a withholding agent for your fees [4].

That gap is the main cash-flow difference of freelancing in Spain with US clients: the tax is not taken at source, so you pay it yourself.

A professional is exempt from Modelo 130 only if at least 70% of the previous year’s income was subject to withholding, which rarely happens when most clients are American [4].

Modelo 130 is a payment on account of 20% of your net profit from 1 January to the end of the quarter, less the payments already made that year [4].

The annual return, Modelo 100, then calculates your final tax with the state and regional scales, and the Modelo 130 payments are credited against it.

Ways to keep that bill lawful and lower are set out in our guide to how the self-employed in Spain can reduce their taxes.

The US-Spain tax treaty decides how double taxation is relieved, which matters because US citizens also file in the US.

Quarterly calendar

Quarter	Filing window	Returns
January to March	1 to 20 April	Modelo 303 and Modelo 130
April to June	1 to 20 July	Modelo 303 and Modelo 130
July to September	1 to 20 October	Modelo 303 and Modelo 130
October to December	1 to 30 January	Modelo 303, Modelo 130 and the annual Modelo 390

Sources: Royal Decree 1624/1992, art. 71 [3]; Royal Decree 439/2007, art. 111 [4].

Modelo 303 and Modelo 390 must be filed even in quarters where you charged no VAT and claimed none [3].

Social security: the US-Spain agreement and the 2026 RETA tables

Article 4.2 of the US-Spain social security agreement says a self-employed person who could be covered by both countries is covered only by the country where they reside [12].

For freelancing in Spain with US clients as a Spanish resident, that means RETA contributions in Spain rather than US self-employment tax.

The IRS states that self-employment tax is generally due on net earnings of $400 or more wherever you live, and that a certificate of coverage from the foreign country is needed to claim the exemption [20].

Ask your US adviser how to document that exemption on your US return.

What you pay in 2026

Royal Decree-Law 3/2026 keeps the income-based tables of Royal Decree-Law 13/2022 in force until a new budget law, and Order PJC/297/2026 sets the 2026 bases [10][11].

The combined rate is 31.50%: 28.30% common contingencies, 1.30% professional contingencies, 0.90% cessation of activity, 0.10% vocational training and 0.90% intergenerational equity [10].

In 2026 the minimum monthly RETA contribution runs from €205.88 in the lowest bracket to €607.35 for net income above €6,000 a month, on the minimum bases of Order PJC/297/2026 [10].

Net monthly income	Bracket	Minimum base	Monthly contribution at 31.50%
Up to €670	Reduced table, bracket 1	€653.59	€205.88
Over €2,330 up to €2,760	General table, bracket 7	€1,356.21	€427.21
Over €6,000	General table, bracket 12	€1,928.10	€607.35

Source: Order PJC/297/2026, art. 18 [10]; contributions calculated on the minimum base of each bracket.

The reduced contribution for new autónomos was €80 a month for 2023 to 2025; from 2026 the amount is set by the budget law, so confirm the figure for your start date with us or the Social Security before you register [8][9].

Your benefits as a contributor, such as sick pay and parental leave, are covered in our guide to autónomo rights in Spain.

Visas: working for US clients from Spain

US citizens need a residence permit that allows self-employment, and for many freelancers that is the international teleworking permit, known as the digital nomad visa.

Article 74 bis of Law 14/2013 lets a self-employed holder work for a company in Spain as long as that work does not exceed 20% of total professional activity [13].

So freelancing in Spain with US clients on this permit works if at least 80% of your activity stays with clients outside Spain.

The application steps are in our guide to applying for the digital nomad visa in Spain, and our guide for US W-2 employees explains why contractors cannot rely on a US certificate of coverage.

Once your US income passes a certain level, a company may be cheaper than personal income tax; compare both routes in our guide to the SL versus self-employed decision.

The Valencian Community compared with Madrid, Catalonia and Andalusia

Your income tax is the sum of a state scale and the scale of the region where you live, so the region changes the cost of freelancing in Spain with US clients.

The state half runs from 9.5% to 24.5% above €300,000 everywhere [5].

Region	Lowest regional rate	Top regional rate	Notes
Valencian Community	8.8% up to €12,000	29.35% above €200,000	2026 scale; 8.7% to 29.25% from 2027 under Valencian Law 5/2026
Madrid	8.5% up to €13,362.22	20.5% above €57,320.40	Lowest top rate of the four
Catalonia	9.5% up to €12,500	25.5% above €175,000	Scale in force from 2025
Andalusia	9.5% up to €13,000	22.5% above €60,000	Five brackets

Sources: Valencian Law 13/1997, art. 2 [15]; Madrid Legislative Decree 1/2010, art. 1 [16]; Catalan Legislative Decree 1/2024, art. 611-1 [17]; Andalusian Law 5/2021, art. 23 [18].

Valencia taxes low incomes lightly but high incomes more heavily than the other three, so a freelancer earning well from US clients should model the regional difference before choosing where to live.

The Valencian employment service, LABORA, publishes self-employment grants in calls that change each year; at 23 October 2026 its 2026 page lists aid for women autónomos and for autónomos affected by forest fires, not a general start-up grant [19].

Our guide to moving to Valencia covers the practical side of settling in the city.

Step-by-step set-up for US freelancers

Step	When	Action
1	Before you move	Choose a residence route that allows self-employment and check the 20% Spanish client limit
2	Before your first invoice	File Modelo 036 with the right IAE heading and register in the RETA
3	At registration	Ask for the reduced contribution if you qualify and choose your income bracket
4	First invoice	Use a compliant template with your NIF or NIE and a note explaining why no VAT applies
5	Every quarter	File Modelo 303 and Modelo 130 and set aside money for both
6	Each year	File Modelo 390 in January, Modelo 100 in the spring, and check Modelo 720 for US accounts

Common mistakes

These are the errors we see most often when clients start freelancing in Spain with US clients.

Adding 21% Spanish VAT to invoices for US companies.
Skipping Modelo 303 because no VAT was charged.
Assuming Modelo 130 is optional because the client did not withhold.
Continuing to pay US self-employment tax without asking whether Spanish coverage applies.
Taking on Spanish clients beyond the 20% limit of the digital nomad permit.
Recording dollar invoices without the euro amount received.

How Delaguía y Luzón can help

Our tax law and accounting team in Valencia has advised international clients since 1960.

For freelancing in Spain with US clients, we register you with the Tax Agency and the Social Security, review your invoice template and file your quarterly and annual returns.

We advise on Spanish law only, so US self-employment tax, Form 1099 and the foreign earned income exclusion must be confirmed with a US adviser.

Speak to our tax team about freelancing from Spain

Contact our legal team for personalised guidance on your case.

We work in English, French, Spanish and Russian from our office in Valencia.

Email: felix.delaguia@delaguialuzon.com
Phone: +34 963 74 16 57
Office: Avinguda Regne de València, 6, 1º-2º, 46005 Valencia

Frequently asked questions about freelancing in Spain with US clients

Do I charge Spanish VAT when I invoice a US company?

No, a service to a business established in the US is not subject to Spanish VAT under article 69 of the VAT Law.

Services linked to property in Spain are an exception.

What should my invoice to a US client say about VAT?

The law does not fix a sentence, but a note such as “Not subject to Spanish VAT, article 69 Law 37/1992” is good practice.

The invoice still needs all the usual Spanish details.

Can I invoice my US clients in dollars?

Yes, invoices may be issued in any currency and any language.

Your Spanish returns are in euros, so keep a record of the euro amount received.

Do I have to file Modelo 303 if I charge no VAT?

Yes, Modelo 303 and the annual Modelo 390 are due even when no VAT is charged or deducted.

The services to US clients are reported as not subject to Spanish VAT.

Why do I have to pay Modelo 130 every quarter?

US clients do not withhold Spanish income tax, so the 70% withholding exemption does not apply to you.

You pay 20% of your net profit to date each quarter, less earlier payments.

Can I recover the Spanish VAT on my own business costs?

Yes, VAT on costs used for services to US businesses can be deducted under article 94 of the VAT Law.

You need proper invoices in your name.

Do I pay social security in Spain or in the US?

If you live in Spain and work for yourself, the US-Spain agreement makes Spain the only country of coverage.

How to document that on your US return is a question for your US adviser.

Can I keep my US clients on the digital nomad visa?

Yes, the permit is designed for work for clients outside Spain.

Work for Spanish companies may not exceed 20% of your total professional activity.

When does Verifactu apply to my invoicing software?

The BOE text in force at 23 October 2026 requires autónomos to comply before 1 July 2027.

A delay to October 2028 has been announced but not yet published in the BOE.

Does living in Valencia rather than Madrid change my income tax?

Yes, the regional half of the scale differs: in 2026 Valencia runs from 8.8% to 29.35% and Madrid from 8.5% to 20.5%.

At higher incomes, Madrid is noticeably cheaper.

References

Living in Spain, Tax Law

Freelancing in Spain with US clients: VAT, tax and RETA

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