Greece, Cyprus, Portugal and Spain all pitch themselves to remote workers. For a freelancer the real difference is not the weather. It is four things: the income tax scale, social security, whether a newcomer regime actually covers freelance income, and how VAT works. Here is how they compare in 2026.
The short answer
- Lowest income tax on a normal freelance profit: Cyprus, with 0% up to €22,000 and a 35% top rate. Its newcomer exemptions, however, cover employees, not freelancers.
- Social security: Greece charges a fixed monthly amount (from €150.46 for new freelancers), which is cheap at mid and high profits and expensive at low ones. The other three charge a share of income, and Portugal largely exempts the first year.
- Newcomer regime for an ordinary freelancer: Greece’s Article 5C exempts half of freelance income for seven years at any age. Portugal’s IFICI and Spain’s Beckham law exist, but most self-employed people do not qualify; Portugal’s IRS Jovem is a strong alternative for freelancers up to 35.
- Lowest nomad visa threshold: Spain, at about €2,849 a month.
- Highest top tax rates: Spain and Portugal, at about 45–54% and up to 53% (48% plus solidarity surcharge) respectively.
Side by side
| Greece | Cyprus | Portugal | Spain | |
|---|---|---|---|---|
| Income tax 2026 | 9–44% | 0% to €22,000, then 20–35% | 12.5–48% (+ up to 5% solidarity surcharge) | State + regional, roughly 19% to 45–54% |
| Social security | Fixed: €150.46 (new) or €250.77/month + €10 | 16.6% + 4% GESY | 21.4% on 70% of service income; first ~12 months free | from about €205/month (minimum per band); €80 starter rate |
| Newcomer regime for freelancers | Art. 5C: 50% exempt, 7 years | None for typical newcomers (25% only for returning ex-residents; non-dom covers passive income) | IFICI: 20%, 10 years, eligible activities only; IRS Jovem up to age 35 | Beckham law: 24%, 6 years, innovative (ENISA-approved) entrepreneurs only |
| Nomad visa threshold | €3,500/month net | €3,500/month net | €3,680/month | ~€2,849/month |
| VAT standard / small-business limit | 24% / €10,000 | 19% / €15,600 | 23% / €15,000 | 21% / no exemption |
Income tax
Greece taxes income from 2026 at 9%, 20%, 26%, 34%, 39% and 44%, with the top rate from €60,000. Freelancers get no tax-free allowance. On top come a 55% advance on next year’s tax (halved in your first year) and, from year four, a minimum presumed income. Details in our freelancer tax overview.
Cyprus raised its tax-free band with the 2026 reform. Income up to €22,000 is taxed at 0%, then 20%, 25%, 30% and 35% above €72,000.
Portugal runs nine brackets from 12.5% to 48% above €86,634, plus a solidarity surcharge of 2.5% above €80,000 and 5% above €250,000 (State Budget 2026). Most freelancers use the simplified regime, where 75% of fees for listed professional services count as taxable income (art. 31 CIRS), subject to a documented-expenses rule. In the first year of activity this share is cut by half, and by a quarter in the second, if you have no employment income.
Spain splits income tax into a state scale of 9.5% to 24.5% plus a regional scale. Combined rates start around 19%, and the top rate ranges from about 45% to 54% depending on the region. New autónomos can reduce their net income by 20% in the first profitable year and the year after.
A simplified example
Income tax only, on €50,000 of taxable income, single, no special regime, no social security, no personal credits:
| Income tax | |
|---|---|
| Greece | €12,800 |
| Cyprus | €6,900 |
| Portugal | about €13,860 |
| Spain | depends on the region |
In Portugal, €50,000 of taxable income under the simplified regime corresponds to roughly €66,700 of fees. Social security changes the picture, which is the next section.
Social security
Greece charges a fixed amount, whatever you earn. In 2026 the lowest regular EFKA class is €250.77 a month, and new freelancers can apply for €150.46 for their first five years. Most freelancers add €10. That is about €1,925 to €3,130 a year, and contributions are deductible. More in EFKA for freelancers.
Cyprus charges self-employed people 16.6% for social insurance on insurable income, capped at €68,904 in 2026, plus 4% for GESY, the health system. The basis is a minimum income set by occupation, or your actual income on request.
Portugal charges 21.4% on 70% of service income, roughly 15% of fees, declared quarterly. Coverage normally starts in the twelfth month of activity, so the first year is largely contribution-free.
Spain links the monthly fee to net income. For 2026 the minimum fee per band starts at about €205 a month and rises with income; you can choose a higher base. New autónomos can apply for a reduced €80 rate (€88.64 including the equity surcharge) for 12 months, extendable if income stays below the minimum wage.
Newcomer tax regimes
Most comparisons skip the key point: the headline regimes rarely fit a standard freelancer.
Greece: Article 5C. If you were not Greek tax resident in 5 of the previous 6 years, move from an EU/EEA country or one with a tax cooperation agreement, and start a job or business in Greece, 50% of that income is exempt for seven years. Freelancing for foreign clients qualifies. EFKA is not reduced. Digital Nomad Visa holders are excluded. See how the 50% break works. Greece also has the €100,000 non-dom regime for foreign income, which requires a €500,000 investment and can run in parallel with 5C.
Cyprus: built for employees and investors. The 50% exemption (pay above €55,000, 17 years) and the 20% exemption (capped at €8,550, 7 years) apply to employment income. A 25% exemption that does cover business profits targets returning former residents. The non-dom status exempts dividends and interest from Special Defence Contribution for 17 years, which matters for investors more than for freelancers.
Portugal: IFICI and IRS Jovem. Under IFICI, eligible income is taxed at 20% for ten years if you were not resident in the previous five years. It covers self-employment only when the activity is on the list: research, teaching, highly qualified roles in qualifying companies, certified startups. A typical freelance designer or developer with foreign clients does not qualify. Freelancers up to 35 can instead use IRS Jovem, which exempts a falling share of income for ten years (100% in year one, then 75%, 50% and 25%, up to an annual cap); for a young freelancer it can beat 5C. It cannot be combined with IFICI.
Spain: Beckham law. 24% up to €600,000 for the arrival year plus five, after five years of non-residence. Since 2023 it also covers remote employees, entrepreneurial activities and highly qualified startup professionals. Ordinary freelancing is not on the list.
Digital nomad visas
All four offer a visa for non-EU remote workers. Thresholds in 2026:
- Greece: €3,500 a month net. No Greek clients or employer allowed, and therefore no Article 5C.
- Cyprus: €3,500 a month after tax, with work for employers or clients abroad.
- Portugal: four times the minimum wage, so €3,680 a month with the 2026 minimum wage of €920.
- Spain: 200% of the minimum wage, about €2,849 a month. Remote employees on this visa can apply for the Beckham law; self-employed holders mostly cannot.
EU citizens need none of this. They register as freelancers directly, which in Greece also opens the door to 5C. See freelancer setup in Greece.
VAT
Standard rates are 24% in Greece, 19% in Cyprus, 23% in Portugal and 21% in Spain. Business clients in other EU countries are usually invoiced without local VAT in all four. Small-business exemptions differ: €10,000 in Greece, €15,600 in Cyprus, €15,000 in Portugal. Spain has no general exemption, which the European Commission has challenged in court. Greece also adds strict reporting: every invoice goes to myDATA, and new businesses with simple books file VAT monthly for their first 24 months.
Which one fits you?
- Moderate profit, no regime: Cyprus has the lowest income tax, but its percentage-based social insurance can reverse the order once you add contributions. Greece’s fixed EFKA favours higher earners; Portugal’s first-year social security exemption and start-up reliefs in Portugal and Spain help at the start.
- Ordinary freelancer eligible for a newcomer regime: Greece’s 5C is the regime for incoming professionals that reliably covers freelance income at any age; under 35, compare Portugal’s IRS Jovem.
- Research, startup or highly qualified roles: Portugal’s IFICI and Spain’s Beckham law are worth checking.
- Non-EU, lower income: Spain’s visa threshold is the lowest; check the tax side separately.
Cost of living, healthcare and language matter as much as tax. For Greece, see our cost of living guide.
If you choose Greece
At taxomade we prepare and file the freelancer registration, Article 5C application, VAT returns and annual return, with ongoing bookkeeping from €89/month.
Frequently asked questions
Is Cyprus tax-free for freelancers?
No, but the first €22,000 of taxable income is taxed at 0% from 2026, and the top rate is 35%. Self-employed people pay 16.6% social insurance plus 4% for the health system (GESY). The 50% and 20% exemptions for newcomers apply to employment income, not to freelance profits.
Can freelancers use Portugal’s IFICI (NHR 2.0)?
Only if the freelance work itself is an eligible activity, such as research, teaching or a highly qualified role in a qualifying company or certified startup. Invoicing foreign clients as a self-employed professional does not qualify on its own. Where it applies, eligible income is taxed at 20% for 10 years.
Can self-employed people use Spain’s Beckham law?
Only in limited cases. Since 2023 the regime covers people who move to carry out an innovative entrepreneurial activity with a favourable ENISA report, and highly qualified professionals working for startups or in R&D. Ordinary freelancing is not among the qualifying reasons. Those who qualify pay 24% on income up to €600,000 for the year of arrival and five more years.
Which digital nomad visa has the lowest income requirement: Greece, Cyprus, Portugal or Spain?
Spain, at 200% of the minimum wage, about €2,849 a month in 2026. Greece and Cyprus both ask for €3,500 a month net. Portugal asks for four times its minimum wage, €3,680 a month in 2026.
Can digital nomad visa holders get Greece’s 50% tax break?
No. Article 5C requires a job with a Greek employer or your own business activity in Greece, and the Digital Nomad Visa forbids both. DNV holders who become Greek tax residents are taxed under the normal rules.
Rules as of October 2026. Tax rules in all four countries change often; check the current figures before you act.