Yacht registration under a Monaco flag is one of those things that you do because it is highly prestigious, and not because of common sense, especially when your vessel is over a certain size. However, registering in Monaco comes with plenty of tax advantages.
One example is the fiscal (VAT) status of a vessel, as well as the ability to switch between commercial or non-commercial use of the vessel.
One of the major objectives for yacht owners is to get the correct registration category especially with regards to efficient Tax and VAT structure.
In general Monegasque nationals and residents can apply to register a boat under the Monegasque flag.
The Principality of Monaco has two primary requirements:
- All vessels under the Monegasque flag must show their name and the word “MONACO” on the stern, to the exclusion of any other wording.
- Yachts owners (or their agents) who wish to appoint a captain and/or a crew must notify the Department of Maritime Affairs.
The vessel registration process is quite simple in Monaco once you have the invoice to prove ownership. The application must then be submitted to the Department of Maritime Affairs in Monaco. Our Registration Team will act on your behalf for a swift and flawless registration.
An annual naturalisation fee is payable for all boats under the Monegasque flag. Payment must be made within a month from the date of the bill being sent by the Department of Maritime Affairs to obtain the annual stamp.
It is also important to know that for vessels of over 5 meters, a proof will be requested that the radio complies with all Monaco’ laws and regulations. Furthermore, for vessels over 7.5 meters purchased within the E.U, you will need to present a confirmation that the boat complies with all tax obligations.
On the insurance side, the yacht, crew and all passengers must be properly insured in the event of accident, incident or liability issue.
One of the misconceptions with yacht registration in Monaco comes with regards to the moorings rights in Monaco. It is highly important to consider that granting permission to navigate under the Monegasque flag does not automatically include the allocation of a mooring in one of the Principality’s ports.
The general rule is based on the first come first serve basis. For this reason, even for long-term residents it is impossible to get a mooring space in the Monaco ports. This rule is very strict, and even the moorings are not transferable to a new ship belonging to an owner who already has a mooring already in the port, or subsequently to a new owner of a ship that is already moored in Monaco. However, our team will be happy to secure suitable mooring or berthing for your yacht if necessary.
Our team of professional yacht agents will happily guide you to decide on the best suited flagging options for your yacht, based on the intended use of the vessel (private use, charter, VAT reclaim, export, …) as well other parameters such as taxes, insurance, mortgages and loans, boat & yacht finance and refinancing, all to fit with your personal circumstances.
While we are happy to register your vessel in the country of your choice, including through purpose-built holding companies and tax efficient ownership legal structures if necessary, we do have Memorandum of Understanding (MoU) to enable fast track registration with the following commercial ships and pleasure yachts registries: