VAT Yacht Leasing

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EU Residents seeking to purchase and sail a yacht in the EU, as well as all yachts sailing in EU waters for a period which extends over 6-18 months, are liable to VAT, a tax which can easily add up 20 percent to one’s purchase. However, there are ways how one can mitigate on the VAT payable by opting to be taxed under the tax regime of Malta or Cyprus, two jurisdictions which offer advantageous VAT yacht leasing set-ups through which one can save between 12% to 20% on VAT to be paid to sail your yacht in EU waters.

Malta' VAT Yacht Leasing

Malta is not only renowned for its reputable flag which makes it a highly popular option for yacht registration option among yachts and superyachts owners as it allows unfettered movement through EU waters, but it has also become a highly popular maritime jurisdiction for yachts due to its advantageous VAT yacht solution for yacht owners seeking to minimise their tax liability.

Malta has set up a VAT leasing set-up where yacht owners will benefit from a reduced rate of  VAT , potentially as little as 5.4% as opposed to the 18% VAT which is applicable in Malta generally. The rate of  VAT  to be paid will depend on the length and type of yacht.  



Cyprus’ VAT Yacht Leasing

With the possibility of mitigation on the VAT payable on yachts sailed in EU waters to 3.4% as opposed to the 17% rate of VAT applicable in Cyprus generally. The variation is by reference to length and type of yacht.


A one-stop-shop service offered by seasoned Maritime Lawyers

Our Maritime lawyers and tax advisors will plan and implement your European VAT yacht leasing set-up thoroughly, including tax advice, Malta Cyprus company incorporation, company secretarial services, back office administration services, tax compliance, accounting and auditing services to companies incorporated for foreign beneficiary clients. Our team will also take care of the Malta or Cyprus yacht registration, its importation into the EU, preparation of all documents necessary for the Malta or Cyprus VAT yacht leasing set-up and finally the termination of the Malta or Cyprus VAT yacht leasing set-up when due.

Relying on our vast experience in setting up European VAT yacht leasing set-ups, our team is able to provide tailor-made advice taking into consideration the size and propulsion of the yacht in question, its sailing history, its value and status.  This for the purpose of providing an optimal solution to our clients and implementing the Malta or Cyprus VAT yacht leasing set-up in the best manner possible.

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