Monaco
Top Income Tax
0%
Marginal rate
Corporate Tax
25%
Standard rate
VAT / Sales Tax
20%
Standard rate
Capital Gains
0%
Standard rate
Overview
Monaco is the ultimate zero-tax jurisdiction for personal income, with no income tax or capital gains tax for residents. However, the astronomical cost of living and strict residency requirements make it accessible only to the ultra-wealthy. Corporate tax applies to companies with foreign revenue.
Income Tax Brackets
| Income Range (EUR) | Tax Rate |
|---|---|
| 0+ | 0% |
No personal income tax for residents (except French nationals who remain subject to French tax).
Corporate Tax
Standard Rate
25%
25% on companies generating more than 25% of turnover outside Monaco. No tax if 75%+ revenue from within Monaco.
VAT / Sales Tax
Standard Rate
20%
Reduced Rates
5.5%, 10%
Aligned with French VAT system.
Capital Gains Tax
Standard Rate
0%
No capital gains tax for individuals.
Social Security Contributions
Employee
14%
Employer
35%
Self-Employed
14%
Covers health, pension, unemployment. Similar to French system.
Pros & Cons
Pros
- Zero personal income tax
- Zero capital gains tax
- Prestigious address
- Mediterranean climate
- Political stability
Cons
- Extremely high cost of living
- Strict residency requirements
- Corporate tax on foreign revenue
- Tiny territory
- French nationals still taxed by France
Living Indicators
Cost of Living Index
Expensive
Quality of Life Index
Excellent
Best For
Data Sources
Tax rate data for Monaco is compiled from the following authoritative sources:
- OECD Tax Database
- Tax Foundation International Tax Competitiveness Index
- World Bank Business Enabling Environment
- Monaco government tax authority publications
- PwC Worldwide Tax Summaries
Last verified: 2024-01
Disclaimer: This content is for informational purposes only and does not constitute tax advice. Tax laws change frequently. Always consult a qualified tax professional before making decisions about your tax residency or obligations.