The European Commission considers the Greek TPP tax to be lawful under EU law.

The Royal Yachting Association (RYA) has received confirmation that the European Commission considers the Greek TPP tax to be lawful under EU law.

At the end of 2013 legislation was adopted by the Greek Parliament which, on implementation, will introduce a tax on boats of 7m in length or more that visit or are kept in Greek Territorial Waters – regardless of the boat’s flag state or the nationality of the owner.

As yet there has been no indication when (if at all) collection of this tax will start.

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The RYA, through its membership of the European Boating Association (which represents 1.5 million boaters across Europe and of which the RYA is a founder member), wrote to the European Commission to express concern that the tax appeared to conflict with the Commission’s efforts to encourage recreational boat tourism within the EU.

The RYA also sought the Commission’s views on whether the tax was compatible with EU taxation laws.

The European Commission has reviewed the Greek legislation and has concluded that the tax does not contravene EU law.  It remains to be seen, however, whether the recent political changes in Greece will have an impact on the speed with which this legislation is implemented (if at all).

In the meantime, the RYA continues to engage with the Commission in relation to its coastal tourism policy.