Tag Archives: charterer

Some Good News!

Sanremo, 31st March 2020

We have received a press release issued by the French Nautical Federation (FIN). You will find here below for your review an in-house translation.

The press release states that the French government has agreed to postpone the application of the new tax regulation related to charter hire (VAT due on the exact time of navigation in EU waters and the abolition of the 50% lump sum reduction).

This certainly would come as great news to our industry during these difficult times however we are waiting for the official confirmation to be issued from the French government in this regard.

Please find below the translated text from the FIN’s press release:

PRESS RELEASE | 25 March 2020, Paris

Applicable VAT Regime on charter hire: the Federation obtains a postponement of the new measure.

Following constructive contacts with the office of the Minister of the Economy, the FIN informs the professionals in the nautical sector of the suspension of the reform project aimed at modifying the 50% lump sum VAT reduction that applies when navigation outside the territorial waters of the European Union occurs during a charter.

“For several months now, we have been working in close coordination with the Government services on this subject. Until the Covid-19 crisis, we were moving forward on a common position with our Italian counterparts. This work will resume after the health crisis. We have pleaded with the government for the suspension of the measure that should have applied on 1 April. This is a relief today. This decision should be made official in the next few hours,” said Yves Lyon-Caen, President of the FIN

In the light of this the French Finance Minister has cancelled the implementation of the new regulation (see more here) due to the current situation of COVID-19 pandemic.

As the changes made to the conditions for determining the taxable base have been withdrawn, the VAT lump sum reduction (20% on 50% of the charter fee) is still applicable in the case of cruising in international waters (BOI-TVA-CHAMP-20-50-30).

For what is concerned to Italy the UCINA Confindustria Nautica is currently dealing with the Italian Authorities to do take analogous measures and therefore to postpone the application of the new rules in order to keep the old taxation law for all Charters to execute during season 2020 (taxation at 22% on 30% of the agreed Charter Fee).

Italy VAT Guide 2018

The new Italian VAT Guide for 2018 is now online.
Please feel free to download it here or below.
Stay tuned and make sure to comply with the rules.
We remain always at your disposal for any sort of clarifications.
Any need please email us to info@yachtwelfare.it.

YW VAT Guide Italy 2018

Italy Cancels VAT Rise

Sanremo, 21st December 2017

 

ITALY CANCELS 2018 VAT RISE: VAT STAYS THE SAME

The Italian Council of Ministers has overturned plans and announced the country’s new financial measures for 2018. Italian value-added tax will not rise in 2018, although it is scheduled to increase in 2019 and 2020 asper below listed:

10% VAT will go up by 1.5% in January 2019 and a further 1.5% in 2020.
22% VAT will increase by 2.2% in 2019 and by an additional 0.7% in 2020 and another 0.1% in 2021.
Excise Tax will also go up in 2019.

Any question can be sent to info@yachtwelfare.it.

No taxes on fuel, food&drink provisioning, deck supplies and repair works

with specific regards to the yacht’s provisions (fuel,  lube oil, food, drinks, spare parts, deck supplies, etc.) and maintenance works on board, for and during a charter subject to the Italians laws and rules, we hereby inform you that from 22nd April 2014, as per our Official Petition 903-13/2014-Art.11, law 27th July 2000, No. 212, filed with the Agenzia Delle Entrate (Italian Revenue Office) on 23rd January 2014, it became official that PROVISIONING is not taxable as per Art. 8-bis, paragraph-1, letter-d) of DPR 633/1972 (Presidential Decree). All the suppliers must head the invoices for PROVISIONING tax free under the ship’s owner company’s name with the Italian VAT code collected by the Fiscal Representative. After, therefore, the charterer is allowed to use APA to refund the ship’s owner company for the PROVISIONING costs. Please send an email to info@yachtwelfare.it for more detailed info.