Sandra Stuszka, KPMG’s head of VAT services in the Isle of Man reports on the Superyacht Management Meeting – Fiscal, which was held in Brussels earlier this month.
The meeting took place at the Hotel Marivaux in Brussels, an apt location for a group of like-minded tax professionals to get together to discuss the current tax issues facing the superyacht industry.
The meeting was also attended by an EU Commission delegation who listened to the issues being raised and whose presence was testament to how important this industry is to the economies of a large number of EU countries.
Representatives from Spain, France, Italy, Luxembourg and the UK were joined by a large delegation from the Isle of Man, reflecting the high profile of our yachting sector.
During the meeting, the delegates explored the different VAT regulations currently in force in France, Spain and Italy and the proposed changes that have relevance for the coming charter season.
I advise on VAT regulation in a number of different industries but the regulations that apply to the yachting industry have to be by far the most complex.
A superyacht will operate in a number of different jurisdictions in the EU and the VAT regulations differ considerably from country to country.
Advisers, yacht managers, charter brokers and captains all need to know the VAT regulations in each and every country they operate so that they can remain VAT compliant, but the differences in regulation applied by jurisdictions are making this difficult.
This was an important meeting aimed at getting the message across to the EU Commission of the difficulties faced by the superyacht industry.
The overall message I feel the meeting presented to the EU commission was that they should do all that they can to make it easy for the superyacht industry to comply with VAT regulations by providing clear direction on how Member States should tax yacht leases and charters.