| Site Sponsors |
|
|
|
|
| |||||||||||||
Greek Yachting Survival Guide
Created by
doina.
Last modified on 2006-12-06 10:46:52
Greek Yachting Survival Guide Doug Decker, Yacht Limerence Purpose The purpose of this guide is to provide information on the rules, regulations and laws of Greece. The Greek Government has developed a number of time consuming regulations to assess cruising taxes and penalties. Many of these regulations are verbally administered by local officials with a multitude of interpretations resulting in significant confusion and frustration to cruising yacht crew. Background Greece has been a member of the European Union since 1981 and for several years, developed a series of antiquated and complicated formalities for the management of Yachts. From a procedural standpoint Greece languishes at the bottom for being a tourist friendly destination. You spend a disproportionate amount of time at port authorities during your visit. This can result in being assessed for cruising tax if you stay over 90 days. Greece could enhance its tourist industry and business development by studying their EU neighbors including Croatia and Turkey. Greece took a big step when it attempted to assess a cruising tax in 2000. The bureaucrats designed a plan to collect tax from all non Greek yachts visiting Greece. The basic goal was to collect additional revenue, in the form of a cruising tax from rich Yacht owners. To accomplish this, the Greek government passed legislation in 2OOO N 2743/99, Chapter three, Private Pleasure Yachts - article ten, paragraph 6A and 6B, which established a cruising tax on non-Greek pleasure yachts. It did not take long for Greek citizens and fellow members in the European Union, to raise holly hell over the new tax and procedures. It was Greece’s position that they had a right to impose such fees. They responded only when the European Union Courts in Brussels intervened. The EU reprimanded Greece for not complying with tax matters compatible with articles 23, 25, 133, of the Treaty. These articles prohibit taxes that have the same effect as custom duties on imports from other Member States and “third countries”. Law is Modified As a result of this ruling, Greece enacted a new law (L.3182/2003) exempting EU yachts from “traffic dues” (cruising tax). But they did not follow the court’s complete ruling and continue imposing taxes on “third country” sailing and motor yachts. Their rationale was that no foreign flagged country had objected to the tax and they had little political representation on the issue. Tax Collected The Greek Government continues to impose a series of punitive and discriminatory taxes and regulations on both EU flagged and non-EU flagged yachts. The actions contravene EU regulations for uniform treatment and free travel within EU countries. Since 2003 the Greek government has inappropriately collected taxes from all non-EU yachts. This law unfairly discriminates and punishes non-EU flagged yachts. The Law as Enforced by Greece 1) EU flagged Yachts entering Greek waters must purchase a “Private Pleasure Maritime Traffic Document” in the customs office which costs €30. This document must be stamped at each port by Port Police for a fee of up to €15. Proof of insurance is also required. 2) All non-EU yachts are required to carry a document called a "Yacht Transit Log” with similar fees. At the end of ninety days, the yacht is subject to a “cruising tax”. 3) All non-EU yachts in Greece over ninety days, regardless whether “in or out of the water” or “under bond”, are imposed a “cruising tax”. This tax is calculated monthly at €14.67 plus 19% VAT per meter every three months. The tax is collected when the yacht departs Greek waters or at intermediate stops as determined by officials. There is no written document explaining this tax procedure. 4) Greece is the only EU country imposing these time consuming taxes and regulations which are administered unevenly throughout the country. The Transit Log The architects of the cruising tax wanted justification to control yachts so they could collect their tax so they developed the “Transit Log”. This document has no other purpose and is totally bureaucratic. Yachters touring Greece are tourists on vacation and this detour to the Port Police is not welcomed. The total process is misguided. The processes appear to be developed by individuals who are uninformed, and do not understand the negative impact on tourism nor the value of the spending power of Yachts. They should study their neighbor’s policy both in and out of the European Union. Greece would benefit from visiting yacht friendly Croatia. The Anatomy of Greek Policy-Limerence Detained for 72 Hours The Greek Government detained the American sailing yacht LIMERENCE for 72 hours in the Port of Patras to assess a “cruising tax” which applies to non-EU sail or power yachts that have remained in Greek waters for over ninety days. There is no official written policy explaining this tax. Many boats are being caught unawares because the rules regarding this tax are not published. After being in “bond” and on the hard at Gouvia Marina in Corfu for the winter, Limerence was processed by Customs and the Greek Coast Guard and authorized to depart. Within nine days, Limerence entered the Port of Patras and it was determined that the yacht was in violation of the Greek Cruising Law for non-EU yachts. The tax of €594, or approximately $800.00 US dollars was paid under protest because this tax is in violation of EU and International Law. A formal protest was immediately sent to the Minister of Merchant Marine, and the American Embassy in Athens. Other Yachts Caught in the Web Each year there are many yachts caught in Greece’s Tax Trap. These yachts are not informed of the laws and regulations and when receiving advice from officials they are wrong. The yachtsman has only one choice - pay the tax and leave the country with a negative impression. Truly not tourist friendly! The Strategy The strategy for dealing with these taxes is to limit your visit and not keep your yacht in Greece over ninety days. Winter your yacht in Croatia or Turkey. You should also write to your MP or elected representative complaining of Greece’s punitive and discriminatory taxes and regulations. Inform all non-EU yachts of the Law. Write to your yacht club and inform them to publish an article in their magazine about Greece’s non-tourist friendly policies and encourage them to boycott Greece. Horror Stories Each day we receive emails from individuals affected by the bureaucracy of Greece’s unpublished laws and regulations. Here is a typical one. A Canadian flagged yacht was informed that their transit log was good for six months and could be renewed for another six months. Upon going to renew their transit log for an additional six months they were informed that they must leave the county immediately and that they were required to pay a “cruising tax”. The process took days to complete because officials had to make dozens of phone calls to calculate the tax. The Canadians paid the tax eventually after many visits to offices that were closed. The boat was located two miles from the port police office. They also used two cruising guides that outline the legal stay requirements, both of which advised of one year. At the end the Greek officials changed their position and granted an extension. They accepted the extension, but are departing Greece for Turkey immediately. Visit to Athens With protest in hand to the Ministry of Merchant Marines we went to Athens to plead our case to Government Officials and the American Embassy. Our meeting with the Merchant Marines never materialized but we did meet with the General Council of the Minister of Tourism and his assistant. We outlined our case with documentation, and the negative impact this law was having on tourism and business by driving yachts out of Greece. We were well received and they were amazed at the fact that Greece went ahead with the law after the EU Brussels court ruling. They found this very disturbing along with the lack of English documentation. We have since received a phone call advising that they were recommending the Minister of Merchant Marine to abolish the Tax. I think they are sincere and we will keep you posted. Greek Yachting Campaign Goals
|
Send Us News/Corrections/Information | © 2000-2008 Noonsite Ltd.