Are you Thinking About Keeping a Yacht in Tenerife?
If you are thinking about keeping a yacht or boat in Tenerife, there's a few things you need to know about the taxes and registration laws. Mooring a yacht or boat in a marina or elsewhere on the island could affect owners who may have to pay 3 taxes to do so.
Are there are any harbour taxes in Tenerife?
Yes – these are known as Tarifa G-5
What other taxes are there for boat owners on the island?
There are 2 other taxes that boat owners may have to pay and these are 'wealth' taxes and a re-registration for boats that have to sail under the Spanish flag.
When do I have to pay harbour taxes (G-5)?
This is a tax on all pleasure craft that use the ports around the island and this includes coastal installations and moorings. The funds are used to maintain and improved these installations.
How often do I have to pay harbour taxes?
Harbour taxes are levied twice yearly in March and September, it's payable in advance. If you pay by standing order you get a 20% discount. Marinas and ports are responsible for telling the authorities of all boats and give them all owner's details. Some provinces don't charge this tax so it is always worth checking this out. Sometimes the tax is included in marina fees.
What is 'wealth' tax and does it apply to boat owners?
This varies from province to province and yes, it does apply to boat owners who remain on the island for longer than 6 months. This tax does not apply to short stay boat owners. This tax is based on a person's residency status and not the geographical location of the boats, although the situation can be a bit blurred.
What does the term 'under Spanish flag' mean?
This is a term used that means boats and other vessels are adhering to the international treaty which the UK and Spain signed. Each of the countries undertakes to fly their national ensign and a courtesy flag when they are in each others waters. This indicates that vessels are declaring they comply in every respect to the relevant legislation of their flag state and that of the waters they are sailing in.