Andorra’s parliament has approved the ratification of a new income and capital tax treaty with the UK, set to take effect after ratification is exchanged.

The Andorran General Council approved the ratification of the income and capital tax treaty with the UK on 15 July 2025. The treaty was signed on 20 February 2025.

The agreement will come into effect in Andorra on 1 January of the year following its entry into force. In the UK, it will apply from:

  • The first day of the second month after entry into force for withholding taxes,
  • 1 April following entry into force for corporation tax,
  • 6 April following entry into force for income tax and capital gains tax.

This treaty is the first of its kind between Andorra and the UK and will take effect once both countries have exchanged their ratification instruments.