This exclusive European enclave is luring deep-pocketed Americans looking to leave the US behind

For wealthy Americans, Monaco is the new Palm Beach — without the taxes.A wave of wealthy Americans is flocking to that European city-state, trading rising tax burdens at home for Mediterranean breezes, luxury shopping and fiscal leniency in the storied principality.The tiny sovereign state on the French Riviera — long a favorite of European royals and Formula One fans — has recently caught the attention of high-net-worth US citizens in growing numbers, said top local property agents. The influx has been especially pronounced in recent weeks, with prime rentals commanding over $50,000 a month.“I’ve been actively working this market for more than 20 years,” Caroline Olds, a luxury real estate agent in Monaco, told the Daily Mail.“I’ve come across more and more Americans moving here in the last four weeks, in particular for rentals that are $50,000 plus a month.

So something is changing.”With no personal income tax, no wealth tax and generally no capital gains tax for residents who are not French nationals, Monaco offers financial incentives that few jurisdictions can match. Expats must prove they have at least $550,000 in savings, a clean criminal record and a lease or property purchase to establish residency.From there, they can apply for a long-term visa through the French consulate and then seek official Monegasque residency.Though Americans must still file US tax returns and report global income, many reduce their liability by claiming the Foreign Earned Income Exclusion — potentially shielding over $100,000 of foreign earnings from US taxes if they qualify.Beyond financial perks, Monaco’s pristine setting — wedged between France and the Mediterranean Sea — has long been a draw. “What everybody knows is that it’s completely safe here, that it’s very beautiful and that the crowds are very, very nice,” Olds said.

“We are sophisticated people with a lot in common.”The country’s manageable size and cosmopolitan population...