Would you like to buy a yacht, and you already know the price? If you register your vessel in the UK you generally have to pay additional VAT on top of the buying price. When the buying price is in the seven-figures, the amount of tax to be paid is not insignificant, and it’s worth looking for other countries for the vessel to be registered in. It could save you a lot of money on the taxes. Compared to the UK you can save up to 80% of the VAT when registering your yacht in Malta, as the VAT rate depends on the size of the vessel and the type of registration. A distinction is made between Commercial Yachts and Pleasure Yachts. Most yachts that we register for clients are Pleasure Yachts. The taxation in Malta follows clear rules, and the distinction between private and commercial yachts is easy and straightforward.
What many boat owners don’t know is that the boat doesn’t have to be moored in Malta all year long. It has to be in a Maltese Harbour only during registration with the authorities, after that it can be moored in any other European harbour under the Maltese flag. This situation makes it very flexible for you. However, once you have transferred your vessel to Malta, you can see for yourself the beauty of this stunning Mediterranean island. The island offers a wealth of possibilities for sailing boat and motor yacht owners to enjoy a life on the sea. There are also regular sailing regattas, which are always a highlight for me!
The VAT rate depends on the registration type, and is between 7% and 12%. How much your savings are can be easily calculated. Feel free to contact us if you would like to have further information on the process of registering your vessel in Malta. All you need to know is the exact type of the vessel, the size, and its intended use.
