Understanding Property Taxes in Monaco: A Guide to Calculating and Managing Your Obligations
One of the major benefits of owning property in Monaco is the absence of property taxes. Unlike many other countries, Monaco does not impose any property tax on real estate owners. This means that if you own a property in Monaco, you don't have to pay any taxes on it to the government.
However, if you are renting out your property in Monaco, your tenants will be subject to rental property tax. The tax rate is 1% of the annual rent plus any applicable charges. This means that if your annual rent incl. service charges is €100,000, your tenants will have to pay €1,000 in rental property tax.
It's worth noting that even though there are no property taxes in Monaco, there are other fees and charges associated with owning property in the country. For example, there is a stamp duty of 4.5% on the purchase price of the property, as well as notary fees and agency fees. These fees can add up to a significant amount, so it's important to factor them in when budgeting for your property purchase.
Despite the absence of property taxes, the cost of real estate in Monaco can still be quite high due to the limited availability of land and high demand for property in the country. As a result, property prices in Monaco are among the highest in the world. However, for those who can afford it, owning a property in Monaco can be a sound investment, as property values in the country have historically been stable and have even appreciated over time.
While there are no property taxes in Monaco, rental properties are subject to rental property tax. It's important to factor in other fees and charges associated with owning property in Monaco when budgeting for a purchase. Despite the high cost of real estate, owning property in Monaco can be a solid investment.
If you like to receive further information about the real estate market of Monaco, please contact MONACO PROPERTIES :
Tel. +377 97 97 33 97
Whatsapp : +33 6 40 62 65 76
Email : info@mpmonaco.com
