Monaco: Offshore Legal and Tax Regimes
This page was last updated on 27 February 2021.
In Monaco, business activities are untaxed if at least 75% of their turnover is generated within the Principality. This is a reversal of the usual situation in offshore centres in which it is external activities which escape tax. See Direct Corporate Taxation and Offshore Business Sectors. Pure holding companies are not permitted in Monaco, although a trading company can hold shares in its trading subsidiaries.
Trusts are for Monaco residents only, who do not pay tax; there are no particular restrictions on their holdings. Foundations are not limited to Monaco residents and are also flexible in terms of their holdings; they are however cumbersome. See Types of Company.