Is there an annual property tax in Monaco?

No. Monaco has neither taxe foncière nor taxe d’habitation. Ongoing costs for a Monaco property are limited to building service charges (charges de copropriété), utilities and insurance. This is one of the structural reasons the Principality’s holding cost stays low relative to other prime cities.

What is the rate of registration duty in Monaco?

Registration duties (droits d’enregistrement) apply to every Monaco purchase. The standard rate is 4.5% of the transaction value for individual buyers (including through a Monaco SCI where the beneficial owner is disclosed). A higher 7.5% rate applies when the buyer is a non-transparent legal entity, typically an offshore company whose ultimate beneficial owner is not disclosed to the Monegasque authorities.

When does VAT apply to Monaco property?

VAT at 20% applies only to first-hand new builds (VEFA sales or resale within five years of completion). In that case, registration duty is reduced to a fixed 1% instead of 4.5%. For all second-hand Monaco transactions, VAT does not apply and the standard 4.5% registration duty governs.

Is capital gains tax charged when selling Monaco property?

Monaco residents pay no capital gains tax on the sale of their Monaco property. French tax residents owning a Monaco property remain liable to French capital gains tax on any gain at the time of sale, subject to the French tapered-abatement regime. Residents of other countries should check their own position: the notaire at completion confirms each party’s obligations before releasing funds.

Does Monaco have a wealth tax?

Monaco has no general wealth tax. French nationals who became Monaco residents after 31 March 1989 remain liable to French tax including IFI (impot sur la fortune immobilière, the French real-estate wealth tax). Non-French residents of Monaco are outside that regime entirely.

How are Monaco SCIs treated for tax?

A Monaco SCI (société civile immobilière) that discloses its beneficial owners to the Monegasque tax authorities is treated as transparent, so the 4.5% registration duty and normal personal-tax treatment apply to the underlying owner. An opaque offshore company attracts the higher 7.5% registration duty and is treated as a non-transparent entity at future resale.

Tax reference

Property Taxes in Monaco

Every tax that bears on a Monaco property: at purchase, during ownership and on sale. Written for private buyers, investors and the advisers structuring around them.

The tax map

Registration duties

4.5% / 7.5%

4.5% for individuals and transparent SCIs. 7.5% for non-transparent legal entities.

VAT (new builds only)

20%

First-hand new builds (VEFA or resale within 5 years). Registration duty drops to 1% when VAT applies.

Annual property tax

No taxe foncière, no taxe d’habitation. Service charges only.

Capital gains (Monaco residents)

No Monaco capital gains tax on sale. French tax residents remain liable to French CGT.

Transparent vs non-transparent ownership

The single most consequential structuring choice in a Monaco purchase is whether the buyer is treated as transparent (a natural person or an SCI that discloses beneficial owners) or non-transparent (an opaque offshore company). Transparent structures attract the standard 4.5% registration duty. Non-transparent structures attract 7.5%, and the difference compounds at every subsequent resale.

For a \u20AC20 million apartment that is a \u20AC600,000 swing on the first transaction alone, before any of the downstream wealth-tax, inheritance and reporting consequences. Private banks and notaires in Monaco will always walk a buyer through both routes before the deed is drafted.

Cross-border considerations

Monaco\u2019s 1963 bilateral convention with France means French nationals who took Monaco residency after 31 March 1989 remain French tax residents, including for French wealth tax on real estate (IFI) and for capital gains tax. Nationals of every other country fall outside that regime and are taxed only by their home country\u2019s rules.

Next step

If you are modelling a Monaco purchase, start with the full buyer guide or register your requirements with MonacoViews for a private matching run.

Read the buying guide Register as a buyer