Afloat Offshore
Professionals move to work offshore to earn a better salaries and accumulate savings. Their technical skills command a premium in sands of the desert oil camp or the humid heat of the Arabian Peninsula. Typically these individuals work for intense periods and then get extended rest and recreation periods.
The R&R periods allows them to recharge their batteries before returning for another bout of intense activity. R&R is also the opportunity for quality time with loved ones. Unfortunately upon return to home base the professional can fall foul of acquisitive tax authorities. More than ninety days in any one tax year in the UK and the professional can become tax resident and liable to tax on his hard earned offshore savings. Similar rules apply in most European countries.
At Boatshed Gibraltar we have noticed an interesting trend. Many of these professionals are acquiring comfortable yachts where they can relax with friends and family. If the yacht is based in Gibraltar there is the added advantage of good yachting facilities, easy access to an airport and as they say English is spoken here! More seriously there are real tangible benefits of acquiring and keeping a yacht in Gibraltar. These are:
1. Gibraltar is outside the EU Customs Zone so VAT is not payable on yachts.
2. A yacht permanently imported into Gibraltar will attract a paltry 6% import duty or 0% if she is over 18m in length.
3. Non-VAT paid yachts can cruise for up to 18 months at a time if owned by an individual non-EU resident. This is precisely what an offshore worker is!
4. A well regulated yacht registry where you can register your vessel.
5. A floating asset that you can take with you when the dark clouds gather. I can't help but feel sorry for all those expatriates in Cyprus with their bank accounts blocked and facing the introduction of capital controls. You can't sail out with a villa in tow but a yacht takes you away from trouble.
Come and talk to us at Boatshed Gibraltar (www.boatshedgibraltar.com). We have deep knowledge about this niche market and we will only be too happy to share it with you.