VAT exemption for yacht moorings.

hobbitt

Why are marina charges for private yachts zero rated for vat in Ireland?

Looking at UK sailing magazine adverts, moorings and marina fees are liable to standard rate vat there.

Why not here? Yachts are a luxury, and are also a captive market, they have to berth somewhere, so why are they exempt paying vat on mooring fees?

This when implemented would pay for a lot of health care!

Cookie_Monster

are they zero rated or exempt? there is a difference

hobbitt

Cookie_Monster wrote: »

are they zero rated or exempt? there is a difference

marina invoice says 0% vat.

revenue doesnt know

UK and rest of Europe says standard rate vat.

Cookie_Monster

0% is zero rate rather than exempt then, means if you have inputs to that you can claim back the input VAT if registered.

Dunno why they are, maybe to encourage the development of marinas and tourism?

hobbitt

The marinas have been built, Greystones is the last one. in progress,

They have vat numbers, and charge vat on items like fuel.
With a vat number, materials and pontoons for construction can be imported vat free from another EU state, and foreign contractors employed.

Sounds like too many civil or public servants own yachts.

Cookie_Monster

the taxation forum may be able to help

http://www.boards.ie/vbulletin/forumdisplay.php?f=1208

Absurdum

hobbitt wrote: »

Sounds like too many civil or public servants own yachts.

oh yeah, that must be it :rolleyes:

hobbitt

Cookie_Monster wrote: »

the taxation forum may be able to help

http://www.boards.ie/vbulletin/forumdisplay.php?f=1208

Could this thread be moved?

Looking at the revenue website, any club (golf or sailing) whose bar turnover is over 55k should be charging vat on subscriptions!

ingen

they charge VAT on services, Lift outs , hull washes, the last time i had work done, lift out , hull wash , i was charged 13.5% VAT on the work that was done.

but you are right in terms of the fees for your berth, i have never noticed whether or not VAT was included on my yearly berth contract.


however i do know a marina in Kerry that charge vat on long term berthage contracts.

in Galway, city marine leisure facility, they charge VAT on their annual berthage contracts,

hobbitt

Dun Laoghaire, Howth, Poolbeg and Arklow dont appear to charge vat on berthing fees. Dun Laoghaire's website doesnt state whether its rates include vat. I think not.:mad:

Atlantic Dawn

http://www.revenue.ie/en/tax/vat/rates/decision-detail-00363.jsp

Boats & Ships, Berthage Space (Marinas)Rate:Exempt,

Letting of berth is exempt. However, a marina etc can exercise the 'landlord's option to tax' as per Section 7A, and any rent is then liable to VAT at the standard rate. Option to tax is restricted in the case of 'connected parties' - see Section 7A(2).

I'd say it's more to encourage tourism having it at zero VAT but really it should be full VAT for long term letting if this was the case.

FoxT

hobbitt wrote: »

The marinas have been built, Greystones is the last one. in progress,

Greystones is the last one! How xenophobic can you get. Take a boat out of kinsale harbour, & turn right - you wont find a marina for 100 miles. Similar story in say, Galway or Sligo.

EstateCar wrote: »

They are all over the country ....

NO, they are not. See above.

ingen

also what about the regulations we have to abide by also on MGO, (green diesel) http://www.revenue.ie/en/tax/excise/leaflets/mineral-oil-tax-on-heavy-oil.pdf


also http://www.irishstatutebook.ie/plweb-cgi/fastweb?state_id=1285799172&view=ag-view&docrank=1&numhitsfound=325&query_rule=%28%28$query1%29%3C%3DYEAR%3C%3D%28$query2%29%29%20AND%20%28%28$query3%29%29%3Alegtitle%20AND%20%28%28$query4%29%29%3Anumber%20AND%20%28%28$query5%29%29%3Asectionno%20%20AND%20%28%28$query0%29%29&query0=marked%20%2B%20gas%20%2B%20oil&docid=71692&docdb=Acts&dbname=Acts&dbname=SIs&sorting=none&operator=and&TemplateName=predoc.tmpl&setCookie=1

hobbitt

ingen wrote: »

also what about the regulations we have to abide by also on MGO, (green diesel) http://www.revenue.ie/en/tax/excise/leaflets/mineral-oil-tax-on-heavy-oil.pdf


also http://www.irishstatutebook.ie/plweb-cgi/fastweb?state_id=1285799172&view=ag-view&docrank=1&numhitsfound=325&query_rule=%28%28$query1%29%3C%3DYEAR%3C%3D%28$query2%29%29%20AND%20%28%28$query3%29%29%3Alegtitle%20AND%20%28%28$query4%29%29%3Anumber%20AND%20%28%28$query5%29%29%3Asectionno%20%20AND%20%28%28$query0%29%29&query0=marked%20%2B%20gas%20%2B%20oil&docid=71692&docdb=Acts&dbname=Acts&dbname=SIs&sorting=none&operator=and&TemplateName=predoc.tmpl&setCookie=1

Has this ever been enforced? What colour diesel is sold to pleasure boats from marina fuel stations?

hobbitt

Atlantic Dawn wrote: »

http://www.revenue.ie/en/tax/vat/rates/decision-detail-00363.jsp



I'd say it's more to encourage tourism having it at zero VAT but really it should be full VAT for long term letting if this was the case.

The Toll Road charges were vat free untill the roads got built. Then the government levied vat to comply with EU directives. Motorists had no choice. Sailors dont either, its a captive market.:D

I cant see a marina "electing" to charge vat on berthing fees. They will when they have to.

hobbitt

FoxT wrote: »

Greystones is the last one! How xenophobic can you get. Take a boat out of kinsale harbour, & turn right - you wont find a marina for 100 miles. Similar story in say, Galway or Sligo.







NO, they are not. See above.

No hospitals either.

testicle

FoxT wrote: »

Greystones is the last one! How xenophobic can you get. Take a boat out of kinsale harbour, & turn right - you wont find a marina for 100 miles. Similar story in say, Galway or Sligo.

Remove your head from your arse and re-read what you quoted.

hobbitt

testicle wrote: »

Remove your head from your arse and re-read what you quoted.

Are marina charges for private yachts STILL exempt VAT?

Dr Galen

I'm really not seeing how this is a Politics worthy thread tbh

Cheers

DrG

anymore

Ask Minister Simon Coveney, didnt he do a round the wrold yacht trip ?
No doubt he belongs to the Royal yacht Club and knows the Crossbies etc - oblivously in these difficult times, keeping a yacht is expensive and paying VAT on top of everything else would be expensive,

anymore

Dr Galen wrote: »

I'm really not seeing how this is a Politics worthy thread tbh

Cheers

DrG

If it is true, then clearly it is a politicis thread as it addresses the phenomenon of how the well off and wealthy are able to arrange our tax codes to suit themselves. This is a question that is most definitely politicial - far more than the endless threeads about the middle east.

Dr Galen

When the OP himself asks for the thread to be moved, then I think thats usually a sign tbh.

I'd also point out that not all yachts are Middle Eastern Sultan standard. I know several people that have boats and are by no means rich.

OP - what do you want me to do?

anymore

Dr Galen wrote: »

When the OP himself asks for the thread to be moved, then I think thats usually a sign tbh.

I'd also point out that not all yachts are Middle Eastern Sultan standard. I know several people that have boats and are by no means rich.

OP - what do you want me to do?

Sorry, i hadnt noticed that so i guess the OP has priority on the matter.

thebman

Define what is considered a Yacht?

hobbitt

The Budget has still not imposed VAT on mooring charges and marina berthing fees. Why not?

Itchianus

hobbitt wrote: »

The Budget has still not imposed VAT on mooring charges and marina berthing fees. Why not?

This thread is hilarious, you've clearly got a raging hard-on as far as this topic is concerned..!

From the link, it appears charges for Berthage are seen under Irish VAT legislation as "lettings of Immovable Goods", the same as letting a house or apartment or any other immovable property.

This means that on the one hand the owner/operator of marinas are not obliged to charge VAT, but at the same time are not entitled to deduct (i.e. reclaim) VAT on the costs of constructing and/or maintaining the berths.

Hence the reference to the "Landlord's option to tax" - the marina can opt to charge VAT on their letting of berths, and thereby become able to claim back their inputs.

krd

Itchianus wrote: »

This means that on the one hand the owner/operator of marinas are not obliged to charge VAT, but at the same time are not entitled to deduct (i.e. reclaim) VAT on the costs of constructing and/or maintaining the berths.

Hence the reference to the "Landlord's option to tax" - the marina can opt to charge VAT on their letting of berths, and thereby become able to claim back their inputs.

Yes, but since the marinas charge what the market can bear, they are pocketing the VAT. So their inputs are already covered. They've already claimed the VAT back without having to claim it.

hobbitt

Itchianus wrote: »

This thread is hilarious, you've clearly got a raging hard-on as far as this topic is concerned..!

From the link, it appears charges for Berthage are seen under Irish VAT legislation as "lettings of Immovable Goods", the same as letting a house or apartment or any other immovable property.

This means that on the one hand the owner/operator of marinas are not obliged to charge VAT, but at the same time are not entitled to deduct (i.e. reclaim) VAT on the costs of constructing and/or maintaining the berths.

Hence the reference to the "Landlord's option to tax" - the marina can opt to charge VAT on their letting of berths, and thereby become able to claim back their inputs.

Look at any of the Marina Berth Contract conditions.

The marina operator reserves the right to move any boat to any berth at its own discretion. The berthholder does not have any right to a specific berth in the marina. Look at the Greystones terms and conditions.

Also, no berth holder is allowed to live on board his boat in his marina berth, and is expressly forbidden from using the marina as a postal address.

Ireland is still the only EU country not to impose VAT on berthing fees and mooring charges.

Now the Haughey family have sold Charlies boat Celtic Mist there is no reason for such an exemption.

Joe 90

Why the fixation on VAT on moorings?

yankinlk

Is a berth liable for property tax? I know of someone who got a revenue letter for their aprtment and also for the berth that came with the apartment. Surely this is a mistake, but they arent sure. Btw they dont even own a boat.