For many years Greece has had a reputation for red tape holding back the yachting industry. But a new law published in April 2014 is the first step in removing many of these limitations on the yachting market.
Law 4256/2014 (G.G.A’ 92) “Touristic Yachts and other provisions” was passed on 14 April, just ahead of the yachting season in Greece. It introduces significant changes to the legal and fiscal treatment of pleasure and commercial yachts operating in Greek waters.
Some of the key points are:
- Abolition of special Yacht Tax imposed on pleasure yachts.
- Abolition of the tax contribution for yachts with non-EU flag.
- All yachts (EU and non-EU flag) can charter in Greek waters providing they are longer than 35m, built of metal or GRP and can carry more than 12 passengers.
- Removal of the necessity for yachts to go through a complicated and time consuming procedure to obtain a charter license. Now, yachts can register online with the “Registry of Touristic Yachts and small vessels” and submit an application to the Ministry of Mercantile Marine and Aegean.
- Embarkation and disembarkation of passengers in Greek waters is allowed for EU and non-EU flags.
- Pleasure yachts can also take on charters in Greek waters, with no limit on minimum number of charter days, as with commercial yachts.
- Owners of commercials yachts can now use their yacht privately without the need to draft a charter party or pay the previously relevant VAT.
- Financial leasing is allowed for pleasure and commercial yachts.
- Bareboat charter extends up to 24m yachts and there will no longer be the need to request departure and arrival clearance from local port authorities.
- Pleasure yachts will no longer need to request clearance from local port authorities unless in exceptional cases.
Although there are still a number of ministerial decisions to come, especially on the implementation of the new rules from a practical perspective, all of these changes will certainly have a favourable impact for Greece as a superyacht destination.