Ownership Structures
Posted: Wed Feb 19, 2025 11:00 am
On the other hand, any private yachts owned by a non-EU resident registered under a non-EU flag may be allowed to enter EU waters for up to 18 months without VAT implications, on a Temporary Import Basis. If this applies to you, more information can be provided on request:
Corporate entities can register yachts, and this is the option chosen by the majority of yacht owners. Most yacht owners will choose an LLC in order to reduce their personal liability associated with the yacht, however alternative options also exist.
But why? What are the benefits? One of the most common reasons is limited liability. netherlands mobile database By registering a yacht under a limited liability company, the owner can mitigate their personal liability and protect their personal assets.
In addition, if the decision is made to sell the yacht, by holding it under an entity, the ease of transferring the shares from the holding company to the buyer, is far easier especially if the buyer wishes to maintain the existing structure, crew, flag, and setup. Instead of selling the yacht, the owner can sell the company itself, which may be exempt from sales tax, depending on the circumstances.
Summary
Where a vessel owner decides to register their yacht or ship and the relative owning structure is an important consideration. It can present significant implications in terms of managing the vessel and the tax effects that may result.
Structured ownership can provide various opportunities in terms of yacht acquisition and subsequent operation. The challenge is getting it right.
Corporate entities can register yachts, and this is the option chosen by the majority of yacht owners. Most yacht owners will choose an LLC in order to reduce their personal liability associated with the yacht, however alternative options also exist.
But why? What are the benefits? One of the most common reasons is limited liability. netherlands mobile database By registering a yacht under a limited liability company, the owner can mitigate their personal liability and protect their personal assets.
In addition, if the decision is made to sell the yacht, by holding it under an entity, the ease of transferring the shares from the holding company to the buyer, is far easier especially if the buyer wishes to maintain the existing structure, crew, flag, and setup. Instead of selling the yacht, the owner can sell the company itself, which may be exempt from sales tax, depending on the circumstances.
Summary
Where a vessel owner decides to register their yacht or ship and the relative owning structure is an important consideration. It can present significant implications in terms of managing the vessel and the tax effects that may result.
Structured ownership can provide various opportunities in terms of yacht acquisition and subsequent operation. The challenge is getting it right.