Andorra reorganises its Tax and Customs Department to strengthen international tax oversight

The Government of Andorra has approved a reorganisation of its Tax and Customs Department to strengthen international tax oversight, centralise key administrative responsibilities and improve services provided to taxpayers.

The changes, established under Decree 432/2026 of 28 October, introduce a new distribution of responsibilities within the department responsible for tax administration, inspections and revenue collection in the Principality.

One of the most significant changes is the consolidation of international tax cooperation and the exchange of tax information with foreign jurisdictions within a single administrative division.

According to the Government, the restructuring is intended to help Andorra fulfil its international tax commitments while improving administrative coordination and strengthening the training and specialisation of officials responsible for these activities.

New division to oversee international taxation and tax penalty procedures

The reform establishes a new International Taxation and Tax Technical Affairs Division, operating within the Deputy Directorate for Legal Affairs, International Taxation and Revenue Collection.

This division will be responsible for managing the automatic exchange of tax information with foreign jurisdictions, including country-by-country reporting information exchanges used in international taxation.

International tax information exchange mechanisms enable tax authorities to share certain financial and tax-related information under applicable international agreements.

The new division will also handle written requests for tax guidance, prepare interpretative circulars and provide taxpayers with information about the official criteria adopted by Andorra's Tax and Customs Department.

In addition, the division will have the authority to initiate and process administrative sanction proceedings arising from its activities, as expressly provided for in the decree.

The restructuring therefore brings international tax cooperation, technical interpretation of tax legislation and certain administrative enforcement procedures under the same organisational structure.

Andorra strengthens international tax cooperation

The reorganisation also seeks to improve Andorra's ability to meet its international tax transparency and cooperation obligations.

In recent years, Andorra has developed mechanisms for exchanging tax information with other jurisdictions, reflecting its commitments to international fiscal transparency.

The new administrative structure will centralise the management of these procedures and allow greater specialisation among officials responsible for implementing international tax information exchange requirements.

The decree does not itself introduce new taxes or change existing tax rates. Instead, it redistributes responsibilities within the Andorran tax administration and reorganises the procedures associated with specific functions.

The Government considers the reform necessary to ensure more effective implementation of Andorra's international commitments.

Changes to in-person, telephone and online taxpayer services

The restructuring also affects the services available to individuals, professionals and businesses dealing with Andorra's tax authorities.

The Public Assistance and Document Management Division will centralise general tax enquiries submitted in person, by telephone or through digital channels.

Its responsibilities will include processing tax returns, assisting taxpayers with self-assessed tax declarations, issuing tax certificates and managing taxpayer registration numbers.

At the same time, the Government has redefined the responsibilities of the Digital Taxpayer Relations Division, which will oversee the development and maintenance of electronic tax procedures.

This division will also be responsible for keeping official tax information portals updated, resolving technical issues involving online tax filings and proposing technological improvements to simplify interactions between taxpayers and the administration.

The changes are intended to make tax services more accessible while improving coordination between the different administrative units.

A new administrative structure for Andorra's tax system

The approval of Decree 432/2026 represents an organisational reform of the country's tax administration, particularly in areas involving international cooperation and taxpayer services.

By concentrating international tax information exchange, technical tax guidance and certain sanction procedures within a specialised division, the Government aims to improve administrative efficiency and strengthen compliance with international obligations.

At the same time, the redistribution of responsibilities for public assistance and digital services seeks to simplify tax-related procedures for residents and businesses.

The reform reinforces the role of Andorra's Tax and Customs Department in managing the Principality's tax system and maintaining cooperation with foreign tax authorities.