SICAVs, funds and management companies in Andorra: legal framework, 0% taxation and obligations
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The short answer
Llei 10/2008 governs Andorran collective investment undertakings (SICAVs and investment funds), run by a management company and held by a depositary. Their corporate income tax is 0 %, but the management company falls under the general regime.
The framework
Llei 10/2008 of 12 June 2008 governs collective investment undertakings (CIUs) under Andorran law. They take two forms: the SICAV, a public limited company with variable capital, and the investment fund. The CIU acquires its status on entry in the register kept by the financial supervisory authority. It is run by a CIU management company (SGOIC) and must have a depositary. The manager must give investors a simplified prospectus free of charge (article 55.5), whose content is set by article 56.4: short and non-technical, it describes the strategy, the risk, the performance history and the investor profile.
Taxation: what article 41 says
Article 41.2 of the corporate income tax law sets the rate applicable to collective investment institutions governed by Llei 10/2008 at 0 %verified on 09/10/2026, excluding management companies, which fall under the general regime of 10 %verified on 09/10/2026. The CIU's zero rate does not mean investors are not taxed: their own taxation depends on their residence and on the rules applicable to their income.
Who it is for
| Profile | Benefit | Point of attention |
|---|---|---|
| Substantial family wealth | Delegated management and an Andorran legal framework | Management costs, depositary, substance |
| An asset manager | Management company under local supervision | Authorisation, capital, compliance |
| A holding company that invests | See also exemption on shareholdings | Tax classification of the vehicle |
Sensitive points for a French resident
A French tax resident who holds units of an Andorran CIU remains taxable in France on the income and capital gains, and the rules on entities with a privileged tax regime may apply: see holding companies and the French tax authorities. The substance of the management company (effective management, team, premises) is closely examined.
Setting up
- Choose the form (SICAV or fund) and the management company.
- Appoint a depositary and prepare the rules or articles and the prospectus.
- Obtain registration with the supervisory authority.
- Organise accounting, compliance and reporting.
What we do not confirm
We have not reviewed the detail of the authorisation procedure or any recent reforms of the regime: consult the consolidated text and the supervisory authority. See also fintech and asset management.
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Frequently asked questions
What is the corporate income tax of an Andorran SICAV?
0 % for collective investment undertakings governed by Llei 10/2008, excluding management companies.
Does the management company also pay 0%?
No: it falls under the general regime of 10 %.
Going further
Official sources
This information is general and is not personalised legal, tax or financial advice. It is verified as of the date shown and may change.