Digital nomads now have a secure legal ground for conducting their work in Albania. The draft law "On several additions and changes to Law No. 25/2022, 'On the support and development of startups'," approved today by the responsible parliamentary commission for Economy and Finance, provides complete tax exemption for digital nomads. Digital nomad workers will not be considered tax residents of the Republic of Albania for a period of 12 months, on the condition that they are exempt from taxes for one year.
Digital nomad workers are issued a unique permit based on the law "On foreigners" and its implementing sub-legal acts. According to the State Minister for Entrepreneurship Protection, Ms. Edona Bilali: "This incentive package for digital nomad workers is an additional contribution to the digitalization reforms in Albania and comes as a joint effort with the Ministry of Finance and Economy. Such a favorable environment makes Albania a very attractive destination for this category of digital experts, which is growing in number after the pandemic."
The changes to the current law, No. 25/2022, "On the support and development of startups," align the Albanian context with the experience of regional countries and the EU. The consultations were based on the alignment with the priorities of the Business and Investment Development Strategy for the years 2021-2027 and the National Strategy for Science, Technology, and Innovation 2017-2022.
An appropriate accommodation of digital nomads in Albania, both in working conditions and daily life, is not only advantageous for them. The temporary accommodation period also translates into increased efficiency in startup development, increased employment for Albanian youth, and increased revenues for the community's economy where digital nomads are hosted.
The average annual income of digital nomads varies significantly, but about 35% of them earn between $50,000 and $100,000 per year.