The 1963 treaty split that decides your file
The Franco-Monégasque tax treaty signed on 18 May 1963 is the single most important document for anyone selling French property from Monaco. Article 7 provides that French nationals who took up residence in Monaco after 13 October 1962 remain subject to French income tax as if they had kept their French residence. That rule was never designed with real-estate CGT in mind, but it flows through anyway: a French national in Monaco is outside the scope of Article 244 bis A and inside the French resident regime on the sale of French real estate. No representative, no non-resident withholding, normal 2074-type reporting at the end of the year if the gain is not fully settled at the deed.
Everyone else is a non-resident. An Italian, British, or Russian resident in Monaco is treated like any other non-EU non-resident: the €150,000 threshold triggers the accredited representative, the 2048-IMM is filed at the deed, and the withholdings are the full 19% plus 17.2% plus the progressive surtax where it applies.
French nationals in Monaco: resident-style filing
If you hold French citizenship and moved to Monaco after 13 October 1962, the notaire will usually prepare a simplified closing file: the gain is computed under the resident regime, with the resident-style holding-period tapers (exemption at 22 years for income tax, at 30 years for social charges), and the tax is declared on your annual French return the year after the sale. You keep the benefit of the exemption for the principal residence if the French property was your main home before the move to Monaco, subject to the usual conditions. The representative requirement does not apply, and no withholding is taken at the deed; the French Treasury collects on the annual assessment.
The one area where French nationals in Monaco sometimes get caught is proof of status. Show the notaire your French passport plus a Monégasque résident certificate; if you have naturalised into another country, expect a second-level check, because dual nationals are read through the tie-breaker rules of Article 7.
Non-French Monaco residents: non-resident filing
A British, Russian, American, or Italian resident in Monaco is a plain non-resident for French CGT. Article 244 bis A applies without modification: representative required above €150,000 per seller, 19% income-tax CGT, 17.2% social charges (no EU carve-out), progressive surtax above €50,000 of gain. There is no bilateral shortcut with Monaco for these sellers because the 1963 treaty is nationality-based, not residence-based. The Franco-Italian and Franco-British treaties still apply to non-real-estate items, but Article 244 bis A governs French-situs real estate unilaterally.
The accredited representative is almost always a French specialist firm; very few are based in Monaco itself. Fees sit in the usual 0.4% to 1% range of the sale price, with negotiation room on sales above €1.5m.
Applicable rates in 2026
View data as table
| Layer | Non-French Monaco resident | French national in Monaco |
|---|---|---|
| Income-tax CGT | 19% flat, after taper | Resident scale (2074), after taper |
| Social charges | 17.2% | 17.2% |
| Progressive surtax | Up to 6% above €260,000 of gain | Same surtax grid |
| Representative required | Yes, above €150,000 per seller | No |
Worked example: a British resident of Monaco sells a villa in Villefranche
James is a British citizen, tax resident in Monaco since 2015. He sells a villa in Villefranche-sur-Mer in 2026 for €2,400,000, bought for €1,350,000 in 2008, with €130,000 of documented renovation invoices and €98,000 of initial notarial costs. His share of the price is €2,400,000, clearly above €150,000, so an accredited representative is required. Gross gain: €822,000. Holding period at signature: 17 years. Income-tax taper at 17 years cuts the taxable base to roughly 34% of gross, so €279,480. Social-charge taper at 17 years cuts the base to about 58% of gross, so €476,760. Income-tax CGT at 19% of €279,480: €53,101. Social charges at 17.2% of €476,760: €82,003. Progressive surtax on €279,480: roughly €13,500. Representative fee at 0.5% of sale: €12,000. Total French deductions from the escrow: about €160,600, before notarial fees. On the Monaco side, no personal income tax and no CGT apply, so the French file is terminal. Had James kept the villa four more years, the taper would have saved him roughly €18,000 on social charges alone.
One rare tip for Monaco residents
Dual nationals, especially French-Italian or French-British, need to confirm their French-national status in the eyes of the 1963 treaty before the deed. The French tax administration reads the treaty as covering anyone with French nationality, but the Monégasque authorities sometimes issue a résident privilégié certificate that the notaire interprets as placing the seller in the non-French track. If the certificate language uses "ressortissant étranger", correct it upstream; the five-day delay to re-issue a proper attestation is much cheaper than being withheld 19% plus 17.2% at the deed and filing a refund claim later.
Pitfall to avoid
Do not assume that residency in Monaco buys you any kind of exemption on French-situs real estate. Monaco has no income tax of its own, but France taxes the gain unilaterally, and the Monaco authorities will not intervene on your behalf. Sellers who arrive at the compromis with the idea that "Monaco is tax-free" are routinely surprised by the French withholding. Book a 30-minute call with an accredited fiscal representative the week you sign the compromis, whatever your nationality.
Key takeaways
- The 1963 treaty creates two regimes, driven by nationality, not by residence.
- French nationals in Monaco pay French CGT as residents, with no representative required.
- Non-French Monaco residents are plain non-residents, with the full €150,000 representative test.
- Monaco itself does not tax the gain, so the French file is the only one that matters.
- Dual nationals need clean documentation before the deed to avoid a misclassification.
Frequently asked questions
If I am French and I live in Monaco, do I need a fiscal representative for my French property sale?
No. Under Article 7 of the 1963 treaty, French citizens who moved to Monaco after 13 October 1962 are treated as French tax residents regardless of their actual Monaco residence. You are outside the scope of Article 244 bis A, you pay the gain under the French resident regime (19% flat tax plus 17.2% social charges with resident tapers), and there is no representative requirement.
What if I am a French citizen who moved to Monaco before 13 October 1962?
You are grandfathered under the treaty and taxed in Monaco only, meaning no French income tax on non-French sources. On the sale of French real estate, however, the French sourcing rule still applies, the gain is French-source, and you are in the non-resident regime with the €150,000 representative test. A specialist review is worth the fee for this narrow group.
Is Monaco on the French non-cooperative states list?
No. Monaco exchanges information with France under the 2010 protocol, and the sanction rate of 75% does not apply. Rates sit at the standard non-resident levels.
Does Monaco tax the gain on my French property?
No. Monaco has no personal income tax and no CGT on real estate held by individuals, with narrow exceptions for French nationals under the 1963 treaty who are deemed French-resident. Your French file is the only tax file on the gain.