26 September 2016

4 Feb 2015

Superyachts vote with their feet in Spanish waters

By

A number of superyacht management companies have recommended vessels under their management avoid Spanish waters as a result of legal uncertainty surrounding import VAT. The uncertainty applies to those vessels without non-EU flag, in free circulation in the EU, that have sailed out of EU waters and re-entered EU waters through Spanish waters.



“From September 2013 we have been having this Spanish VAT problem with non-EU flagged vessels from outside of the CCT [Community Customs Territory] that, even having been imported in free circulation in the EU are being treated as non-EU goods when sailing out of the CCT and re-entering Spanish waters, even if the yachts have been in a port outside of the CCT waters for one day,” Miguel Ángel Serra Guasch, lawyer at Garrigues, tells SuperyachtNews.com. 



Serra explained that the Spanish customs authorities and Balearic Islands Customs Office consider these yachts subject to 21 per cent VAT, as a new importation through Spain, and support their argument by claiming that the status of EU goods acquired in initial importation in the CCT is lost when the goods leave the CCT, unless a ‘return goods relief' customs regime has been applied for which, added Serra, is something “hardly anyone does”.



No such rules are applied to Spain’s main competitors in the nautical sector – France, Italy and the UK – and Serra   added that there is no evidence to suggest other Spanish regions, such as Barcelona and Valencia, apply the same rules. “[This] seems to be a tremendous discrimination for the charter industry in Sapin, especially in the Balearics and, consequently, for any other related businesses such as ports, marinas and shipyards,” he told SuperyachtNews.com.



As a result, the main Spanish yachting associations concerned with this taxation structure, with Serra, have approached Madrid’s Ministry of Finance, though Serra revealed they did not initially seem disposed to make any changes. However, with a limited number of superyachts now visiting the waters concerned, there is hope that by halting the money coming in via these assets, the impact on the economy might become the catalyst for change.



Serra explained that the situation have no sense as the criterion of the Spanish tax Authorities is based on the Community Customs Code (CCC), the provisions for its implementation, and the European VAT Directive, something that should be applicable in identically in all EU countries and should produce the same final results.

 



Those seriously concerned about the effects of this application are taking the matter to the high courts and are hopeful the tax authorities will refund the money collected under these provisions. Although this can, according to Serra, take up to eight to 10 years to see through if all legal remedies were to be exhausted.



"In the mid to long term the industry built around the yachting industry could  be destroyed,” said Serra, who added that the money circulating within the yachting industry in Spain is already much lower than in France or Italy in proportion to its gross domestic product (GDP).

“This is the reason we are currently acting at all possible levels and have contacted the European Boating Industry in Brussels for lobbying purposes.” Spanish MEP Rosa Estarás, the Spanish National Nautical Industries (ANEN), for which Serra is a tax advisor, and the Spanish Large Yachts Associations (AEGY) have requested a meeting with Miguel Farré, secretary of state for finance, to attempt to solve the problem. In the meantime, Serra has also been approached by representatives of the State Port Authority to prepare a memorandum explaining the situation, which has now been delivered to the Spanish Government to be discussed with current finance minister Cristobal Montoro.



SuperyachtNews.com will provide updates as the situation progresses.

European Fiscal harmonisation is a key component of the programme for the 2015 edition of the Superyacht Management Meetings: Fiscal, held on 28 April in Monaco. Register for this event here.

Profile links

Garrigues

Comments

Add a comment

1800 character limit

Having problems? Let us know editor@superyachtnews.com

Other Business News

Fourth consecutive year of growth for UK superyacht sector

New figures reveal ongoing growth of the UK superyacht industry, despite uncertainty in the face of Brexit. More

The Superyacht Owner's VIP Lounge Returns to Virage

After an extraordinary turn of events the Superyacht Owner’s VIP lounge returns to its traditional home. Make sure your name is on the guest list More

Inspiration or just PR?

As concepts arrive on our desk in the run up to Monaco, we look at the line between inspiration and PR More

Eight superyacht losses in 2016

Thus far 2016 has seen eight serious incidents that have resulted in the loss of superyachts, nearly five more than the average numbers of yacht fires between 2010 and 2015.  More

business News Archive

Most Recent Comments

  1. SY Kaori comes to the aid of a yacht in distress More
  2. Bureaucracy hits superyachts cruising Italy More
  3. Back to basics More
  4. Cannes increases security as Balearics increase business More
  5. Brokers - Sailors or salesmen...? More
SuperyachtNews app available now. Click here to download.
The Superyacht Intelligence Annual Report is out now. Subscribe today and access your digital copy instantly. Subscribe now.

E-Newsletter

Get regular updates from SuperyachtNews with our weekly Email Newsletter.

Submit

SuperyachtIndex.com

Latest Premium Listings

Cummins Inc.

Cummins Inc.

Nlightened Software Ltd

Nlightened Software Ltd

Cogs 4 Cancer

Cogs 4 Cancer

Zytexx International Ltd

Zytexx International Ltd

Melita Marine Group

Melita Marine Group

Raytheon Anschuetz

Raytheon Anschuetz

Kahlenberg Industries, Inc.

Kahlenberg Industries, Inc.

Directory. Add your logo here with a premium listing.
 
 
 
 
 
 
 
 
 
 

Featured Listings

Paint & Protection

Wrede
WREDE Consulting is an independent paint consultant and paint surveyor company who has worked for most of the 200 largest yachts worldwide in coating, paintwork and equipment areas. WREDE Consulting engages in quality management and objective quality assessment for the coating of mega- and superyachts. www.wrede-consulting.com
www.wrede-consulting.com

Tenders & Toys

Superyacht Tenders & Toys
Superyacht Tenders & Toys have a high level of expertise in providing new build and custom tenders, chase boats, RIBs & all popular yacht toys. With an unrivalled global service network, maintaining a personal & bespoke service, wherever you are in the world, Superyacht Tenders & Toys can help.
www.superyachttendersandtoys.com

Navigation, Satellite Communication, Security

Raytheon Anschuetz
Integrated Navigation Systems based on state-of-the-art technology and decades of experience in the superyacht industry. Ultimate knowledge and flexibility in system integration. Dedicated customer care throughout the whole project and beyond.
yacht.raytheon-anschuetz.com

Satellite Communication

Marlink AS
Marlink offers seasonal, flexible contracts to match regional sailing requirements. Through our dedicated account managers & customer services, we develop personal relationships with customers & drive innovations to develop digital solutions & smart applications that take you beyond just connectivity.
www.marlink.com

Electrics, Environmental Solutions, Propellers & Propulsion, Software, Training

ABB Marine and Ports
ABB is a leading supplier of electrical power and propulsion systems for ships. We provide innovative, safe and environmentally-friendly solutions and qualified services worldwide. Our Azipod® propulsion has proven its efficiency and reliability on yacht vessels with its ultimate silent and ecological solution.
www.abb.com/marine

Water Treatment & Watermakers

Jets Vacuum AS
Jets Vacuum has for over 30 years been the leading innovator in vacuum sanitation technology. With over 11,000 Jets systems in operation on all types of ships, Jets are known for high quality, flexible cost efficient solutions backed up by first class world wide service
www.jetsgroup.com

Engine Room, HVAC & Refrigeration

ASEA POWER SYSTEMS
ASEA POWER SYSTEMS is the Marine Industry Leader for Shore Power Conversion equipment ranging in power from 8kVA - 1000kVa.
www.aseapower.com

Shore Power Convertors

ATLAS MARINE SYSTEMS
Atlas Marine Systems, the world leader in the design of marine electrical power systems, offers a full range of engineering services necessary to define the onboard electrical distribution system or simply the application of the Atlas power conversion products.
www.AtlasMarineSystems.com

Add your company listing here

Add a featured listing here and your advert will appear on every page of SuperyachtNews.com, SuperyachtIndex.com, TheSuperyachtReport.com and TheCrewReport.com.

Add my company listing