Hannah Gundert & Julia Spix, Free to Roam, Hard to Tax? The Tax Implications of Digital Nomad Visas in the EU, ZEW Discussion Paper No. 26-042 (2026):

A growing number of countries have introduced Digital Nomad Visas (DNVs) to accommodate the rise of location-independent remote work, often paired with tax incentives. Using simulation analysis, this paper examines the effective tax burden of digital nomads under DNVs in the EU. Results show that tax burdens are sensitive to host country choice, double tax treaty provisions, and duration of stay, with the 183-day threshold proving critical. Tax planning can generate substantial tax savings for digital nomads who relocate strategically. This raises tax fairness concerns, as host countries may bear costs associated with digital nomads without proportionate income tax revenue.

From the conclusion:

[O]ur analysis demonstrates that existing tax frameworks are ill-equipped to address today’s patterns of remote work. The bilateral tax treaties considered in our study were negotiated long before the rapid expansion of cross-border remote work, accelerated by the COVID-19 pandemic. . . .

[O]ur study underscores the need to modernize the international tax framework to adequately address the challenges posed by digital nomads and an increasingly mobile workforce. DNVs can play a constructive role to the extent that they enhance transparency, legal certainty, and international coordination. However, using DNV programs as instruments of tax competition is unlikely to constitute a sustainable tax policy approach. Instead, coordinated multilateral efforts are required to prevent unequal taxation, reduce tax planning opportunities, and ensure that tax systems remain robust in an increasingly mobile and digitalized economy.