VAT ON CHARTER

CHARTER IN FRANCE

CHARTER IN FRANCE

 

Conditions precedent:

·      The Operator must be VAT- registered in France;

·      The applicable standard rate is 20% for charter parties for private use starting in France. The rate is reduced under the strict condition that the voyage includes per guest list a visit of the high sea outside the 12 miles zone;

·      VAT-exemption only applies to charter-parties for professional use;

·      If running under the VAT-exemption statute, the condition precedent to any charter stays the application to the FCE-rules;

·      There is none French VAT to be paid for charter-parties starting from other EU-member states.

Alternative:  Maritime Cruise Agreement

·      Applicable VAT rate 10%

·      Fixed cruise itinerary and fixed guest list

Tax- free fuel:

·      VAT exemption available under the respect of the condition that over the civil year 70% of the voyage goes outside of the 12 miles zone.