From Monaco to San Marino to Andorra: where today’s racing drivers are heading amid low taxes and sky‐high rents

The rich riders and team managers used to go live in Monaco, the slightly less rich in San Marino, while the Spanish chose Andorra regardless. In the past, that was generally the case. Sure, some preferred England or Switzerland, but that was the trend.

To be clear: ethics always suggest residing in your own country, but it’s quite normal to want to save on taxes and do so entirely legally. Nowadays, to live in the Principality of Monaco your income doesn’t just need to be high, it needs to be stellar, so riders have abandoned Monte Carlo—though many tennis players and numerous Formula 1 drivers with multi‑million annual incomes still live there.

Monaco continues to stand out on the international stage for a unique tax system, based on the absence of direct taxes for individuals and limited pressure on businesses. Those who reside in the Principality, with a few exceptions, do not pay taxes on income, dividends, or wealth. There are also no local taxes such as those on housing or property. To obtain tax resident status, you must live in the Principality for at least 183 days a year. Rents range from 3,000 to 6,000 per month for a studio, and a small apartment for a young couple easily exceeds 10,000 euros. In the Principality of Monaco, rental prices for 2026 reflect a market characterized by extremely high demand and structurally limited supply. Over the past two years, rents have recorded significant increases.

San Marino is an optimal solution for just about everyone. For professional athletes, there is the atypical residence option, a highly competitive solution from a tax perspective, chosen by Enea Bastianini and many Superbike and off-road riders. This regime provides favorable taxation on income produced abroad, subject to a fixed substitute tax of 7%. The system sets a minimum contribution threshold of 10,000 euros and a maximum cap of 100,000 euros for each fiscal year, thereby consolidating the Republic’s attractiveness for high-level athletes who wish to transfer their registered base to San Marino. Rents are higher than in most Italian municipalities but lower than in provincial capitals or metropolitan cities. An example? A one-bedroom apartment has a starting rent of 650/700 euros per month, while a small apartment runs around 800/900 euros, up to 1,100 for recently built units.

The tax system in Andorra is characterized by low taxation, with a maximum rate of 10% for both individuals (IRPF) and companies (IS). VAT (known as IGI) is the lowest in Europe, with a standard rate of 4.5%. Many MotoGP riders now live in Andorra. Prices? Studios start at around 1,000 euros, but an apartment can easily reach 2,000/2,500 euros per month—figures that in the Titan are seen only for premium penthouses or villas.

Although prices have risen sharply in San Marino and the lack of supply pushes rents upward, Andorra remains a much more expensive market, while Monte Carlo is out of reach for most people working in the two-wheeled world.