Confusion around the Spain Digital Nomad Visa Certificate of Coverage has increased significantly in recent months, especially for US W-2 employees. Online discussions and partial updates have led many applicants to believe that the Certificate of Coverage (CoC) is either fully rejected or still accepted without changes.
Neither is entirely true.
This article explains, clearly and concisely, what has actually changed, why US applicants are facing more scrutiny, and what realistic options remain available.
What Is the Certificate of Coverage and Why It Matters
The US Certificate of Coverage is issued under the 1986 Social Security Agreement between Spain and the United States (Summary). It confirms that a US employee temporarily working abroad continues to pay into US Social Security and is exempt from Spanish contributions.
When Spain launched the Digital Nomad Visa under Law 13/2023, many US W-2 employees relied on this document to meet social security requirements without registering in Spain.
The legal framework has not changed. The interpretation has.
The Role of the UGE and Why Applications Are Being Scrutinised
Digital Nomad Visa applications submitted from within Spain are assessed by the UGE. Their responsibility is to ensure that each approval strictly complies with existing law and international agreements.
The Startup Law is intentionally broad and does not define every scenario. As a result, authorities rely on interpretation—particularly when applying older agreements to modern remote work arrangements.
Recently, the UGE has adopted a stricter interpretation of when a US Certificate of Coverage legitimately applies.
Is the US Certificate of Coverage Still Accepted?
Yes—but only in specific circumstances.
The Spain Digital Nomad Visa Certificate of Coverage has not been abolished or formally banned. However, it is no longer accepted automatically for all US W-2 employees.
The key issue is how and why the employee is in Spain.
The Critical Distinction: “Sent” vs. Voluntary Relocation
The US–Spain Social Security Agreement was designed for temporary postings, where an employer sends an employee abroad for operational or strategic reasons.
It does not explicitly cover:
- Employees who independently choose to relocate
- Lifestyle-driven moves
- Open-ended remote work arrangements
Because of this, the UGE is now assessing whether an application genuinely resembles a posting.
In practice:
- Applications framed as employer-directed assignments are more defensible
- Applications framed as personal relocation with employer permission face more challenges
This distinction now sits at the centre of W-2 Digital Nomad Visa cases.
What This Means for US W-2 Applicants
Applicants using a Spain Digital Nomad Visa Certificate of Coverage should expect:
- Requests for additional employer documentation
- Closer examination of employer letters
- Questions about the temporary nature of the arrangement
Employer cooperation is now essential. Without it, the CoC route may not be viable.
Employer Concerns: Permanent Establishment Risk
Many US employers hesitate to state that they are “sending” an employee to Spain due to fears of creating a permanent establishment and triggering Spanish corporate tax obligations.
While these risks are often manageable with proper structuring, employer reluctance has become one of the main practical obstacles for W-2 applicants.
Your Main Options If the CoC Route Is Not Viable
If using the Spain Digital Nomad Visa Certificate of Coverage is not feasible, there are still alternatives:
1. Apply as Self-Employed (Autónomo)
- Register as a freelancer in Spain
- Pay Spanish social security contributions
- Note: you must normally be registered at least 3 months before applying
2. Employer Registration in Spain
- The employer registers as a non-resident employer
- Social security is paid in Spain
- Legally robust but administratively complex
Each option has tax and compliance implications and should be assessed carefully.
Why Getting Advice Early Is Now Essential
One of the biggest risks is starting the process incorrectly. Once a Certificate of Coverage is issued and documents are submitted, reframing the application later is extremely difficult. For US W-2 employees, strategy and wording at the very beginning now determine the outcome.
Key Takeaway
The Spain Digital Nomad Visa remains a strong and attractive option for US professionals. However, the Spain Digital Nomad Visa Certificate of Coverage is no longer a “one-size-fits-all” solution.
It still works in properly structured, employer-supported scenarios. Outside of those, alternative routes must be considered early to avoid delays or refusals.
Join the Community and Get Expert Help
If you want to stay updated with real-world experiences and weekly developments, we strongly recommend joining Spainguru’s Digital Nomad Visa Facebook community:
https://www.facebook.com/groups/spanishdigitalnomadvisa
For personalised advice and case-specific strategy, you can also contact vetted Spanish Digital Nomad Visa experts here:
https://spainguru.es/top-spanish-immigration-experts-and-spanish-immigration-lawyers/
Disclaimer
This article is based on community reports, professional observations, and current administrative practices at the time of writing. It does not constitute legal advice and should not be considered an official interpretation of Spanish law. Digital Nomad Visa requirements and interpretations may change, and outcomes vary depending on individual circumstances. For personalised guidance, always consult a qualified Spanish immigration lawyer.
