The Saga of the taxes

What is included for the client (charterer) the financial side of the Charter yacht crew? The first is the rental cost of the yacht with the equipment. Also paid a refundable Deposit, the APA (Advanced Provisioning Allowance) which is allocated to guests of the yacht and everything they may need during the Charter. Also in a given situation there might be costs, for example for the delivery of the yacht to the place of commencement of Charter (more on that later). But most importantly in the expenses of the charterer something that can not be avoided: tax on the rent of the yacht and the additional costs.

Tax rates in each country, but they can vary depending on the route. To understand this properly and to draw up a contract with the necessary items for taxes can only be experienced broker. Also, it will offer the correct (read — profitable) for the client route.

Tax on commercial use of yachts is not available in all countries. If you take the most popular destinations, it develops such a picture. In Europe the tax is in Malta, Croatia, Spain, Italy and France, including owned Islands: Sardinia, Corsica, Sicily, etc. In Greece, the tax depends on the circumstances. License to Charter there can get not all yachts. There are a number of conditions: the Greek flag, the Greek crew (at least one team member), an additional office of the company owning the yacht, in Greece. In this case, the tax appears and depends on the size of the yacht. Much cheaper yacht without a license or flag: a tax, however, there are restrictions in movement. For example, a yacht must start and finish the Charter outside Greek waters. Then you might consider beginning and ending in Italy, Albania or Turkey (in the latter Charter is not taxed). There are other subtleties yacht rental in Greece without a license or flag, which can only talk to a qualified broker.

In the Caribbean the tax, and the Bahamas is. In Seychelles a tax exists, and in the Maldives it is not, but there are local fees. Thailand — tax, but there are restrictions on the route in the waters of the country or to start a Charter, or to finish it, but not both. But it is not hard to build a profitable customer route. For example, to start the Charter in Phuket, pass through the inner Islands and the beautiful places and end up close to Langkawi (this is Malaysia). Conditions are met: no tax, no violations.

And if you break? Find out whether this government? To verify the correctness of the route is easy: all movement of fixed GPS are recorded in the logbook and monitored by the local authorities — customs, immigration, port authorities and the coast guard.

How to reduce the tax cost of the Charter? Take for example France. The tax is 20%, but could quite easily be reduced to 10%. Enough to get 12 miles from shore (e.g. on the way from Monaco to Cannes), spend half an hour and then you are free in your movements.

In Italy, this trick will not work: you need to a significant part of the route took place in international waters. Then the tax is 22% of the total rent is reduced to 6.6%. The authorities monitor the implementation of routes, and such Charter must immediately submit vodopoglashchenie GPS and record logbooks. The charterer is obliged to fill out a special form to the contract with the obligation upon failure to comply with the route to pay the full tax. In this regard, some Charter companies charge an additional Deposit to the full amount of tax and return an overpayment after the Charter if a route is performed on the reduced tax.

In Spain the tax is double: for the charterer and the shipowner. The charterer pays 21% of the total rent; this rate is not reduced regardless of the route. The ship owner, making a profit from commercial activity, must pay a tax of 24% of the total rent under the contract. If no yachts Spanish license, then start and finish the Charter in this country it can not. However, it is possible, for example, start in France, go to the Balearic Islands and back. Tax of France in this case is 10%.

Here support Charter broker is obvious. It will always help to build the route so as to take into account the client’s wishes and local tax subtleties. Not to mention the proper drafting of the contract and additional agreements: legal protection is another important aspect of the Charter.

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