The Crazy Economy of Monaco
Economics Explained
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The Benefits of a VAT Tax in Monaco
The average citizen of Monaco is rich. Very, very rich. Which means that this kind of VAT tax is just fine by them. An extra few thousand dollars on top of the purchase price of their new supercar is a small price to pay for the millions that they save in income taxes That are not levied on the citizens of Monaco. Another big benefit for this type of taxation for Monaco is that this tax can be levied on the huge tourist population that floods through the country year round. In a given year, more than half of the total VAT tax revenue in Monaco came from non-citizens of the nation. To your average global billionaire, this ticks all the boxes, and so Monaco is
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