Monaco Tax Overview

Monaco tax system at a glance

• Currency — Euro (EUR) (Franco-Monegasque Monetary Convention) (Franco-Monegasque Monetary Convention)
• Tax authority — Direction des Services Fiscaux (Department of Tax Services), Le Panorama, 57 rue Grimaldi, MC 98000 Monaco (Direction des Services Fiscaux (https://monentreprise.gouv.mc/en/themes/accounting-obligations-and-tax/tax/other-taxes-and-duties/corporate-income-tax))
• Personal income tax on resident individuals — 0% (None — Monaco levies no personal income tax on individuals resident in the Principality, in force since 1869) (Sovereign Ordinance of 1869 (abolition of direct personal taxation))
• Exception — French nationals — French nationals resident in Monaco (other than those settled before 13 Oct 1962) remain liable to French income tax (Franco-Monegasque Tax Convention of 18 May 1963)
• Headline corporate profits tax (ISB) rate — 25% (applies only to companies earning more than 25% of turnover outside Monaco) (Sovereign Ordinance no. 3.152 of 19 March 1964 (Impot sur les Benefices) (https://monentreprise.gouv.mc/en/themes/accounting-obligations-and-tax/tax/other-taxes-and-duties/corporate-income-tax))
• VAT/GST — 20% percent (Yes — Monaco applies the French VAT (TVA) regime via customs union; standard rate) (Franco-Monegasque Customs Convention of 18 May 1963; French Code general des impots (TVA))
• Wealth, property and capital gains tax on individuals — None — no annual wealth tax, no residential property tax and no capital gains tax on individuals ((approx — confirm scope)) (Monaco tax code (absence of direct personal taxation))
• Basis of taxation — Territorial for companies (profits tax bites only where >25% of turnover is non-Monaco); residence/source largely irrelevant for individuals as there is no personal income tax (Sovereign Ordinance no. 3.152 of 19 March 1964)
• Main annual corporate tax filing deadline — Within 3 months of the financial year-end (e.g. 31 March for a 31 December year-end) ((approx — confirm with Direction des Services Fiscaux)) (Sovereign Ordinance no. 3.152 of 19 March 1964)

Monaco is a low-tax principality with no personal income tax on residents (other than French nationals under the 1963 bilateral treaty), but it does levy corporate profits tax and applies the French VAT regime through a customs union. The euro is the currency and the tax authority is the Direction des Services Fiscaux.