Taxation

Monaco is a sovereign city-state located on the French Riviera and is known for its low taxes. Here's an overview of the tax system in Monaco:

Corporate taxation:

- Monaco has a flat corporate income tax rate of 26.5%.

- Resident companies are taxed on their worldwide income, while non-resident companies are only taxed on their income sourced from Monaco.

- Capital gains are subject to corporate income tax.

- Monaco does not have a value-added tax (VAT) or a wealth tax.

Personal taxation:

- Monaco does not have a personal income tax or a capital gains tax.

- However, residents of Monaco who derive income from sources outside of Monaco may be subject to tax in their country of origin.

Tax payment process and calendar:

- The tax year in Monaco runs from January 1st to December 31st of the same year.

- Corporate income tax returns and payments are due by March 31st of the year following the tax year.

- Monaco does not have a personal income tax, so there is no requirement to file a personal income tax return.

- Monaco also does not have any social security contributions or payroll taxes.

It's important to note that Monaco's tax system is designed to attract foreign investment and high-net-worth individuals by offering low tax rates. However, Monaco's tax system is subject to scrutiny by international organizations, such as the OECD, who are working to combat tax evasion and promote transparency in tax matters.