Shipowners to be exempted from VAT on open-sea routes

Owners of tourist ships will be exempted from VAT on the open sea segment of a scheduled voyage, according to a ministerial circular by the Shipping and Island Policy Minister Fotis Kouvelis and Alternate Finance Minister Katerina Papanatsiou released on Thursday.

The ministers amended ministerial decision 1177/2018 to include specific conditions for the exemption. For example, the distance covered between a departure and an arrival port or any two consecutive ports must be greater than 12 nautical miles for domestic routes, and greater than 24 nautical miles for open-sea routes.

The data will be verified by the Shipping Ministry before the exemption is applied.