About Monaco
The Principality of Monaco is an independent state which has been ruled by the Grimaldi family, and now Prince Albert II, since 1297. The Principality is a hereditary and constitutional monarchy which gives the Prince the highest authority. It is very small, some 201 hectares including the reclaimed zone of Fontvieille and the new maritime construction. The Principality would fit comfortably into Hyde Park, London. The total residential population according to the last census taken in 2000 was 32,020 of which only 6,089 were Monegasque subjects. Current estimates are a population of 34,000 and 7,200 Monegasque subjects respectively. There are nearly 125 nationalities represented of which 28% are French and 6% British.
Monaco was admitted as the 183rd full member of the United Nations in May 1993. This membership has forcefully underlined Monaco’s stability both politically and economically, which together with its security, commercial flexibility, sophisticated infrastructure and geographic location has provided the background on which the reputation of the Principality has been built and is maintained.
Monaco has its own legal system, Law Courts and Appeal Court, and while its law is largely but not entirely based on the French Code Civil, the legal system in Monaco is distinct from that in France and more welcoming to foreigners.
There is a complete customs and monetary union with France by convention since 1963. Through its treaties with France, Monaco indirectly obtains most of the benefits of EU membership whilst remaining outside of the EU. At the same time, the Bank of France continues to regulate the Monaco banking system further reinforcing its security.
There are no exchange controls nor are there any regulations regarding residential accommodation. A person can rent or buy as desired.
The Euro is the legal tender of the Principality.
Monaco is active in the international fight against money laundering and terrorism and the Government agency S.I.C.C.F.I.N., (Service d' Information et de Controle sur les Circuits Financiers), was set up in August 1993 to monitor the activities of financial companies in the Principality. E.B.C. Corporation participates in S.I.C.C.F.I.N. activities including the liaison committee to fight terrorism and money laundering of 2004. S.I.C.C.F.I.N.'s role is in tune with the traditional approach in Monaco of providing a secure and stable environment for investment while not compromising confidentiality. A number of laws have been passed to combat money-laundering and the financing of terrorism.
Administration of Trusts and
Companies in Monaco
In the context of the offshore world, Monaco is something of an anomaly – a tax haven for private individuals with the majority of its residents living in the Principality on a tax-free basis, but not an “offshore” jurisdiction in the usual sense since most companies incorporated in the Principality are subject to local corporation tax. Monaco is, however, an ideal business centre from which to administer foreign offshore trusts and companies.
|
|
Secure and politically
stable. |
|
|
No income or
capital gains tax for non-French resident individuals. |
|
|
Foreign
offshore companies, when managed and administered by a fully authorised
Monégasque management company, are not subject to Monégasque corporation
tax. |
|
|
No concept of
"mind and management" dictating residency for tax
purposes. |
|
|
No double
taxation agreements. |
|
|
No central
registry of foreign offshore companies. |
|
|
Confidentiality of the banking system. |
|
|
Located in mainland Europe, Monaco enjoys easy access to and from all parts of the world through the international airport of Nice, a 6 minute helicopter ride away. |
|
|
Monaco's long history and legal system has always protected the discretion and confidentiality of business interests in the Principality including advisory services and management companies. |
Monaco continues to prosper. Under Prince Rainier, the "Builder Prince", the economy and the locality expanded. The statistics are noteworthy. The total asset base of the finance and banking sector in Monaco is now just under 60 billion. Prince Albert II, at his ascension on 12 July, 2005 expressed his commitment to further promote and strengthen the financial sector of Monaco and this augurs very well for the future. There are over 100 industrial enterprises that employ over 44,000 people. The main activities that generate tax revenues include industry, trade, services, hotels and real-estate.
Please contact us for further information
