American- and other non-EU-flagged megayachts considering traveling to Europe for minor repairs over the winter can now do so tax-free at an unusual location. OneOcean Port Vell has a permit allowing it to extend the TPA tax-free benefit to owners whose yachts are berthed there.
In brief, this Value Added Tax (VAT) exemption has typically only been given to yachts in repair yards and shipyards. It has been given to ones that are undergoing repairs and/or upgrades while being cautious to avoid pollution. The tax-free benefit has been granted to a handful of marinas, however, with OneOcean Port Vell being the latest.
Since OneOcean Port Vell is not set up as a refit or repair facility, of course, limited tasks can be undertaken if you send your yacht there to take advantage of the savings. For example, electrical work, interior work, and standard maintenance quality.
To quality, an approved administrator must oversee the tasks performed and invoicing. He or she will supply the proper fiscal authorities with regular reports. The work, materials, dockage, and power consumption while at OneOcean Port Vell can be paid exclusive of VAT if they are wrapped up within the TPA-approved time frame.