Certificate of tax residency for remote workers: what to know
Anyone working abroad for a while during a workation, or as a digital nomad, eventually runs into the term certificate of tax residency. Here's what it means and what to keep in mind.
- Confirms your tax residency to authorities, banks or clients
- Usually becomes relevant with longer or repeated stays abroad
- Issued by the tax office responsible for you, not by a residents' registration office
- Often tied to the so-called 183-day rule
What is a certificate of tax residency?
A certificate of tax residency confirms, through your local tax authority, which country you're a tax resident of. It's often required to benefit from a reduced tax rate abroad under a double taxation agreement, or to prove your tax residency to authorities or clients.
When remote workers need one
If you work abroad for several weeks during a workation, work for a company based abroad, or move between countries as a digital nomad, a client, a bank or a foreign authority may ask for a certificate of tax residency. It also matters if you want to check whether longer stays abroad shift your tax residency.
How to get one
In Germany, your local tax office (Finanzamt) issues the certificate on request, usually on an official form, sometimes country-specific depending on the relevant double taxation agreement. You'll typically need your tax number and proof of where you actually spend most of your time.
Why the 183-day rule matters
Many countries apply a version of the 183-day rule: anyone who spends more than 183 days in a country within a twelve-month period is often considered tax resident there. For workations spanning multiple countries, it's worth keeping track of your days spent in each one.
How anywhr helps
Your anywhr account lets you track your stays per country. That helps you keep an eye on the 183-day rule and similar thresholds before requesting a certificate of tax residency from your tax office or advisor.
Frequently asked questions
No. A registration certificate only confirms your registration with the local residents' office, while a certificate of tax residency covers your tax residency and is issued by the tax authority.
Usually not. This mostly becomes relevant with longer or repeated stays abroad that add up to several months a year.
No, the exact rules differ by country and by the relevant double taxation agreement. Check the specifics for your destination with a tax advisor.