The 2019 edition of the Yacht Welfare VAT Guide is finally released. You can ask your copy by sending an email to firstname.lastname@example.org. Our Team of Lawyers and Fiscal Advisors is always available to assist you during your Charter Season in the Mediterranean Sea.
Sanremo, 14th April 2019
25% YES OR NOT?
The French Customs Office has released important dispositions and clarifications about yachts engaged in commercial and transport activities (e.g. charter).
25% DUTY TO APPLY TO US BUILT BOATS
The French Customs Office confirms that every US built boat having commercial registration and officially imported in European Community before the 22nd of June 2018 will be exempt from the payment of the 25% customs duty on the boat’s return in Europe if all the standard import formalities will be executed (the same formalities and practices arranged before the 25% rule).
The same principle applies for boats exported from EU before the same date (Export Declaration is required. In absence of this Declaration an alternative proof of exportation has to be provided).
All the boats having completed the import back to the European Community can benefit from FCE/ICE (French Commercial Exemption / Italian Commercial Exemption) advantages according to the +70% rule.
If the boat has been imported under the FCE/ICE regime in 2018, it is still required to provide the proofs attesting its qualifications to take advantage of the same benefits (+70% international voyages).
Therefore, we confirm that any and all US built boats falling within the below listed cases:
1. never imported before the 22nd of June 2018, or
2. imported before the same date but having changed the Owning Company (sold/purchased)
are subject to the application of the 25% customs duty.
CHARTER UNDER TEMPORARY ADMISSION STATUS
Besides, all US built boats never imported before the 22nd of June 2018 will have the possibility to perform commercial activities (Charter) under Temporary Admission status, whether the boat is registered as commercial or private (in the latter case only if the Flag Registry admits this condition).
However, there are specific restrictions to the above frame:
a. the impossibility to have EU resident Charterers
b. at present not all the EU Members States still permit a boat under Temporary Admission to execute commercial activities (Charter).
In regards to non US built boats (EU or non-EU) registered as commercial and to coming to Europe to execute commercial activities (Charter), which are under “Import Status”, the FCE/ICE benefits apply to all those non-EU boats (as well as to some EU boats in specific cases: more info will follow) intending to execute commercial activities (Charter). This is the only case in which the Charterer can be a EU resident.
Concerning the non-EU boats which will not be imported (both Commercial and Private registered), they will only have the possibility to execute Charters under the regime of Temporary Admission and will not be entitled to charter to EU resident subjects.
As far as is concerned to side boats (chase-boats/tenders) having own registration and which are employed to attend the mother ship (main vessel), we are still waiting for the necessary clarifications by the Customs about the possibility to charter said chase boats to EU residents.
All the hereby listed rules and information provided might be subject to variations by the Customs Office.
Therefore please always contact us to know if something has been changed, integrated or just updated.
For any additional info or clarifications required please email us to email@example.com
You can download the complete version of this news below:
The rumors spread in the last days by the operators in the yachting industry about the taxations in Italy on the fuel taken for a charter are just hot air.
We have been officially noticed that the Circular No.10/D Reference Number RU 67167, raised by the Italian Customs Office (Agenzia delle Dogane) on 14 July 2014, goes in direct conflict with the EU laws and rules for what is concerned to the operations of import/export and purchases between EU/EU and EU/non-EU nations.
Many of the local Customs Offices (e.g. Viareggio, Sanremo, etc.) are already not adopting this rule.
In all cases, if for any reason the new rule will find application into the Italian law, the yacht importation (in total exemption of VAT) will be the most valid solution which will put all non-EU ship’s owner companies in the position to get duty free fuel in Italy.
In fact, in accordance to Art. 68 from DPR No. 633/72 and on the base of the Official Questioning 95/E from 14 March 2008, which clearly states that: “Pertanto, l’acquisto o l’importazione di navi da diporto dotate delle caratteristiche di cui sopra può avvenire in regime di non imponibilità, ai sensi del già citato art. 8-bis, a condizione, ovviamente che le medesime siano effettivamente utilizzate dal soggetto acquirente in attività di noleggio come previsto dalla normativa in materia (…) “ it is limpid that the importation practice is not subject to taxation. This means that if any non-EU ship’s owner company needs to import its yacht in Italy no VAT will apply on the yacht’s declared value.
For any additional info please call or email us at firstname.lastname@example.org.