Sailing Yacht & Motor Yacht VAT Leasing Rates in Malta

Sailing Yacht & Motor Yacht VAT Leasing Rates in MaltaFor The Malta Super Yacht VAT Registration Programme the Malta VAT Department has determined that when a Malta company purchases a sailing yacht or motor yacht and lease purchases it to third parties, than VAT is due on the lease as this a supply of a service deemed to have been supplied in Malta.

The rate of VAT on this type of supply would be the standard rate of 18%, but the Malta VAT department has established that VAT should only be charged on the portion of the lease during which the sailing yacht or motor yacht is in EU waters.

This is difficult to measure exactly, so the Malta VAT department has established sailing yacht and motor yacht VAT rates that determine a percentages of the lease that is subject to VAT based on the percentage the sailing yacht or motor yacht is deemed to have spent in EU waters. This percentage is based on the size of the sailing yacht or motor yacht and the means of propulsion and is unique to the The Malta Super Yacht VAT Registration Programme.

The sailing yacht and motor yacht VAT leasing rates are as follows:

Type of Boat % of Leasing subject
to VAT
Effective Rate
of VAT
Sailing Yacht  or motor yacht between 20.01 to 24mtrs 30 % 5.40 %
Sailing Yacht between 20.01 to 24mtrs 40 % 7.20 %
Motor Yacht between 16.01 to 24mtrs 40 % 7.20 %
Sailing Yacht between 10.01 to 20mtrs 50 % 9 %
Motor Yacht between 12.01 to 16mtrs 50 % 9 %
Sailing Yacht up to 10mtrs 60 % 10.8 %
Motor Yacht between 7.51 to 12mtrs (Commercial) 60 % 10.8 %
Motor Yacht up to 7.5mtrs (Commercial) 90 % 16.2 %
Craft permitted to sail in protected waters 100 % 18 %

Please go back to:

Malta Super Yacht VAT Registration Programme

Malta Superyacht & Luxury Yacht VAT Registrations Rules & Conditions

For more information and clarity on the above rates for the The Malta Super Yacht VAT Registration Programme please contact us.