Can a US S-corp owner with a sole W2 employee get a spain digital nomad visa to live and work in Spain for a year?


After almost 2 years of planning, I’m realizing I am likely not eligible for this visa. Before I pivot to another plan, I’m wondering if others in my situation can corroborate. I own a US S-corp with myself as the only W2 employee. I was considering changing my company from S-corp to LLC and go from W2 to 1099, but seems because I am a sole employee, that will be a problem. Has anyone else in this situation found a workaround? If not, are there other European countries where someone in my situation could go live and work for a year? Or has anyone considered traveling in and out of the Schengen Zone (not sure this is even possible).


These are the answers of some Facebook group members:

”Being a sole proprietor of an LLC shouldn’t be a problem. Just pay yourself via 1099 contract”

”Chances are, you’re already an LLC or sole proprietor, as those are business entity types, whereas s-corp merely refers to your tax status. Look at your articles of incorporation or certificate of good standing to confirm your entity type. Technically, you could dump your s-corp tax status and apply as a regular ole self-employed person. That said, you have many other, arguably better options in Europe than spain digital nomad visa. Croatia in particular is especially good. The application process is much easier and the tax benefits are amazing. Plus, Croatia is an incredible place”

”Croatia has a very easy digital nomad visa. You can apply once you are already there and it is through the local police office (MUP). Same requirements for income, but zero tax liability there. You do not have to pay taxes. And, you can just use your own health insurance or travel insurance to fulfill the requirements. I was one of the first DN to get the visa there when it first came out. I have been waiting for this Spanish one to come for so many years, but I am rethinking it now because I just don’t want to be paying 700-1000 a month in taxes. Its just too much in my opinion”

”We are considering the Schengen shuffle. That or Golden Visa”

”Try the non lucrative spain visa. May be able to skip through cracks”

”I did see the post you showcased here, which made me believe I would have issues b/c I do not have an operations manager or other employee to sign documents approving my work as a contractor. Unless it’s crystal clear that this would not be a problem for me, I don’t want to change from W2 to 1099 (which is more taxes, uncertainty and work). I have talked to a few professionals who have not given me this assurance”

In conclusion, according to Spainguru Facebook group members, there are various solutions. One option is to pay oneself via a 1099 contract if operating as a sole proprietor of an LLC. However, some individuals expressed concerns about the requirement of having an operations manager or employees to sign documents, which may pose challenges when working as a contractor. Another suggestion is to consider Croatia, which has an easy digital nomad visa with favorable tax benefits and a simplified application process. For those looking to navigate the Schengen Zone restrictions, they proposed the idea of the “Schengen shuffle,” involving traveling in and out of the zone (90 day rule). The non lucrative spain visa was mentioned as a potential workaround. It’s important to note that these suggestions come from Facebook group members and may not provide official information or legal advice.