Real estate transaction costs and taxes in Monaco

Cost

Map/zoning plan: free of charge (online)

VAT

Nil

Cost

N/A

VAT

N/A

Cost

Cost Per line

VAT

Nil

Cost

<< EUR 10,00

VAT

Nil

Cost

Depends on time spent and value of the subject

VAT

20%

Cost

Depends on time spent

VAT

20%

Cost

The following transactions involving real estate are VAT taxable operations:

• the sale of a building plot, having a specific definition, by a taxable person acting as such;
• the sale of a “new building” by a taxable person acting as such, i.e., one which has been completed within the last five years, as a new construction or following works on an existing building which involved raising the height or significant renovations (such renovations having a specific definition).

Conversely, some sales are exempt from VAT. These are “old buildings” sales (i.e., buildings which do not meet the definition of “new buildings” ) and land sales (i.e., that are not considered as building plots). 

The seller may choose to elect for VAT on exempt transactions under certain conditions. 

If the above-mentioned transactions are carried out by a non-VAT taxable person, they remain outside the scope of VAT and election for VAT is not available.

VAT

20%

Cost

The following registration duties apply for transfers for consideration of real estate located in Monaco, but only if VAT is not applicable (except for the special regime of property traders):

• 4.5% on the market value if the purchaser is a private person or a qualifying Monegasque Personal Civil Company (SCP) (several conditions should be met).
• 7.5% on the market value for any other purchaser.

Acquisition of shares in a civil company (Monegasque SCP) owning real estate in Monaco triggers the following registration duties:

• 4.5% on the share price (or market value if higher) if the purchaser is a private person or a qualifying Monegasque Personal Civil Company (SCP) (several conditions should be met). 
• 7.5% on the share price (or market value if higher) for any other purchaser.

Nil (for individuals Monegasque tax residents)

Sale by a Monegasque resident company subject to corporate income tax in Monaco: capital gains are taxable (corporate income tax rate of 26.5% in 2021 and 25% as from 2022).

Sale by a foreign company or an individual not tax resident in Monaco: no withholding tax in Monaco.

Nil (for individuals Monegasque tax residents)

Sale by a Monegasque resident company subject to corporate income tax in Monaco: capital gains are taxable (corporate income tax rate of 26.5% in 2021 and 25% as from 2022).

Sale by a foreign company or an individual not tax resident in Monaco: no withholding tax in Monaco.