The reason why tennis players like Novak Djokovic live in Monte Carlo is that it is considered a tax haven. The Principality of Monaco does not collect personal income taxes and does not levy net wealth taxes.
Also question is, why do most tennis players live in Monte Carlo?
The tax haven for tennis players, Monte Carlo
Monaco is a tax haven because it does not levy any income tax or wealth tax; such tax rates can go up to 30% in some countries, which can mean millions for top-ranked tennis players. Hence, living here is lucrative and easy on the pockets of players.
Also to know is, how does Monaco survive without taxes?
Monaco is considered a tax haven because of its tax laws and policies. A person must live in the principality for six months and one day out of the year to be considered a resident. … Monaco eliminated taxes on dividends paid by local companies’ stocks and does not charge a general corporate income tax.