The Greek Ministry of Shipping has posted draft legislation online covering yacht operation in Greece. Such draft legislation is currently open to comments by the public until 21 January 2022 following which it will be potentially amended and presented in Parliament for voting purposes.
Under current legislation in order to commence and end charters in Greece a non-Greek flagged vessel must be in possession of a Greek charter licence. To apply for a Greek charter licence the yacht owning company must first incorporate a Greek branch of the company.
The new proposed law introduces the possibility for yachts to apply for an E-Charter Permit allowing such yachts to start and end charters in Greece for a fixed period of 21 days. Furthermore it introduces the payment of a Special Fee for yachts chartering in Greece without a Greek charter licence in place.
Who Can Apply
To apply for the E-Charter Permit a yacht must be:
The E-Charter Permit once issued allows for 21 days of charters starting and/or ending in Greece annually.
Requirements to Apply
The E-Charter Permit is applied for online and approved by the port authorities subject to the below requirements being satisfied:
Τhere must be a signed charter agreement in place
Payment of the Special Charter Fee (“Fee of Commercial Pleasure Boat recognized in accordance with the Law of Another Country (T.E.P.A.D.A.H.)”) to the Greek authorities. The calculation of such fee is set out in more detail below
The yacht must be in possession of a certificate confirming the yacht complies with the Greek safety commercial code (P.E.X.E.P.A.). This involves a class surveyor authorised by the Greek authorities surveying the yacht
70% of the VAT on the charter fee due in Greece must be paid in advance
The chartering of the vessel is the only commercial act carried out by the yacht owning/operating entity within Greek territory (excluding any personal use of the vessel for pleasure by the UBO and family)
The yacht owner/operator does not have a permanent establishment within Greece
The yacht owner/operator must be registered for VAT in Greece
Points to Note
Private use of commercial yachts by the UBO and/or his family (up to second degree) in Greece where in possession of an E-Charter Permit is allowed subject to the required information. Duty-free fuel is not available for private use.
Commercial yachts chartering in Greece where the charter has started and ended outside of Greece may do so without applying for an E-Charter Permit subject to paying the Special Charter Fee as set out in more detail below.
