These relate to any procedure under which your yacht or aircraft may be lawfully placed within the VAT system.
The EU Single Market
The EU Single Market comprises the EU’s twenty-seven countries and their affiliates. However, it is not only a single market, but also a customs area. This means it serves to unite Western Europe’s whole geographical area into a single internal market. This includes all territorial waters and airspace.
Its purpose is so you can trade your goods and services without restriction.
However, rules and controls that are mutually enforced by the tax administrations still apply.
Countries which are not in the EU Single Market are foreign or ‘third’ countries. Bringing their goods into the EU Single Market is therefore subject to controls and tariffs along the EU’s invisible perimeter fence.
What this means for your asset operations
Normally, goods and services you sell for export or to customers abroad, aren’t taxed. However, you’re still required to declare these and pay a single tariff if you bring them into EU economic circulation.
This tax is called import tax. It helps keep the system fair for EU producers so they can compete on equal terms in the European market against suppliers based outside the Union.
Because of the EU’s single market, trade and mobility have steadily increased with a significant impact on yacht and aviation.
Keeping in control of the ever-changing tax implications is therefore vital if you’re seeking to operate your asset in EU waters or airspace.
Where Y & A Group, LP help
The EU legal instruments which operate trade are being continuously modernised for efficiency. So are the legal instruments for mutual assistance and cooperation with EU tax authorities.
Keeping on top of all these legalities requires diligence, experience and expertise.
Y & A Group, LP offer all the above which means we help you stay safe wherever you and your asset are trading.