Navigating Greek Maritime Legal Reforms “e-Charter Permission TEPADACH Plus” and a Comprehensive Yacht Charter Licensing Guide
Navigating the legal waters of commercial yachting in Greece demands a deep understanding of the regulatory landscape. As maritime aspirations converge with entrepreneurial endeavors, yacht owners and yacht managers find themselves at the helm of crucial decisions.
Recently, the Greek Government activated the long-awaited platform of the “e-Charter permission TEPADACH”. This development signifies not only a technological leap forward but also signals the expansion of the market to accommodate a broader spectrum of vessels.
As per the announcement by the Greek Ministry of Shipping, there are two permission options: “Charter Permission,” designed for charter contracts entirely conducted within Greek territory, and “Charter Permission Plus,” intended for complete charter contracts with either the starting or ending point within Greek territory.
Distinguished from the classic “Greek charter license” this new type, brings a notable shift in operational flexibility without the requirement of holding a Greek charter license or establishing a business address within the country.
Applicable to yachts already commercial, exceeding >35m. in length, and made of steel, GRP, or aluminum, this permission requires:
• A duly signed charterparty agreement.
• Commercial flag registration.
• Company ownership, without establishing a branch in Greece.
• Registration of the company for VAT return purposes in Greece.
• 70% of the charterparty’s VAT must be prepaid.
• Issue of the Greek Foreign Commercial Yacht Inspection Certificate (PEXEPA).
• Payment of TEPADAH (Fee for a Commercial Yacht Recognized under the Law of Another Country).
However, this newfound flexibility comes with a time constraint, as the license is valid for a period of 21(+7) days.
You may apply and use online platform to register for e-Charter Permission here https://echarter.yna.gov.gr/#/
In this table below you can see how you will calculate the tax: Click on top of table to enlarge.
Tax Greek Waters
At the same time, it is imperative to note that the “unlimited” Greek Charter License, unaffected by these recent modifications, remains a steadfast and accessible option.
Applicable to all the E.U. flagged yachts (irrespective of their flag/length) and non E.U. yachts exceeding 35 meters made of steel, GRP, or aluminum, the Greek Charter
License (Unlimited) entails a structured process:
• Certificate of registry as commercial under the legislation of the flag State.
• Company ownership.
• Establishment of a branch office of the ship-owning company in Greece and acquisition of a Tax Identification Number in Greece.
• Issue of the Greek Foreign Commercial Yacht Inspection Certificate (PEXEPA) by a recognized Classification Society.
• Registration with the e-registry and issuance of the Greek charter license.
• Payment of the Recreational and Daily Tour Cruise Ships Fee (TEPAI) imposed on all yachts over 7 meters in Greek territorial waters.
In the latest question made to the Hellenic Ministry of Maritime Affairs and Insular Policy from 13/03/2023 regarding the performance or elimination of the “Professional Pleasure Vessel Fee Recognized under the Law of Another Country” (T.E.P.A. D.A.X. – type TEPADACH Plus) Related: a) Article 9 of Law 4926/2022 (Α΄82). (b) The no. Prot.: 3133.1/75335/2022/21-10-2022 (B’5567) KYA, the answer was: “It is too early from the application as of today to draw relevant conclusions or for there to be documented objections. Especially in Greece we follow the legislation of the European Union as well as in other European countries.”
Read the relevant answer here. Click on top of document to enlarge.
answer from Hellenic Ministry of Maritime Affairs and Insular Policy
Do you want to find more? Ask ARGOLIS Yacht Lines for any further details or assistance.