Monaco Tax Guide
Key Tax Advantages
Monaco is one of the world's most tax-efficient jurisdictions. Real estate and capital gains are fully tax-exempt. Residents (except French and US nationals) pay no personal income tax.
Personal Taxation
| Income Tax | None for Monaco residents (except French nationals) |
|---|---|
| Capital Tax | No personal wealth tax |
| Property Transfer Tax | 6% (simple transaction) or 9% (complex structure), including notary fees |
| Property Tax | None |
| VAT | 20% (standard rate — same as France) |
| Exit Tax | None — no tax when leaving Monaco |
Inheritance & Gift Tax
Inheritance tax applies to assets located in the Principality, regardless of the place of residence or nationality:
| Direct descendants / children | 0 % |
|---|---|
| Brothers and sisters | 8 % |
| Grandchildren & uncles/aunts | 10 % |
| Other family members | 13 % |
| Unrelated persons | 16 % |
Corporate Taxation
Companies generating the majority of their turnover within the Principality are exempt from corporate income tax. Those generating more than 25% of their turnover outside Monaco are subject to a rate of 33.33% (reduced to 25% from 2019).
New businesses benefit from a progressive tax regime: 0% for the first two years, followed by a gradual increase to the full rate from the 6th year onwards.
VAT in Monaco
Monaco applies the same VAT rates as France: standard 20%, reduced 5.5% and exceptional 2.1%.
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