Thursday, January 18th, 2018
New Greek Yachting Law Affects Charters
The Greek government recently passed a law that prohibits yachts not in possession of a Greek commercial licence from commencing AND ending charters in Greek waters.
Foreign flagged yachts in possession of a Greek commercial licence are able to start and end charters within Greece freely without restriction.
In light of the new law a number of yachts are reported to have begun proceedings to obtain a Greek commercial licence for their yachts.
Licences could take 2 months to be issued therefore the procedure should be commenced in good time for the summer season.
VAT at the rate of 9.6% (12% for yachts limited to domestic voyages) will arise on charter fees of yachts operating with a Greek licence in Greece.
There is talk of the law changing to simplify the procedure of obtaining a Greek commercial licence due to extensive lobbying by local agents and other key industry players but this is yet to be confirmed and as a result yachts remain bound by laws currently in force.
Yachts without a commercial licence intending to charter in Greece can continue to do so subject to the start and end of the charter taking place outside of Greece.
There are fool proof steps in place for yachts considering such options to ensure the entry and departure into Greece.
Reportedly these are effected smoothly from Saranta, Albania and Bodrum and Izmir in Turkey.
While yachts to have to commence and end the charter outside of Greece it’s not all bad news as charterers will:-
- Have unconditional access to competitively priced duty-free fuel in Turkey and Albania.
- Will not pay VAT on charter fees for time spent in Greece.
The new laws, and how they will affect chartering along with other important topics will be discussed at the 2nd East Mediterranean Superyacht Forum that is taking place on the 31st May 2018 at the Athens Plaza Hotel, Athens, Greece.
Topics to be covered at the conference include:
- Market Overview: Global Superyacht Sales and Projections
- Marinas Sessions
- Tax & VAT Sessions
- Chartering & Crew Session
The Seminar will feature Roundtable Breakout Groups on:
- Impact of Paradise Papers on superyacht ownership structures
- The Superyacht industry in Cyprus
- Relocating a yacht to the East Med
- Cruising secrets in the East Mediterranean