Vista VAT on Services

I'm on the Oct. 11 sailing, leaving from Greece. All on that sailing got an email this morning saying a 24% VAT will apply to all goods, services, food and drink for the entire duration of the cruise.

Aside from all the other issues this raises, can anyone who's recently sailed on Vista tell me if VAT is charged on Carnival excursions or on the internet package? Both are services.

We cruised in August. There was no VAT tax added to pre booked excursions or the internet services.

Thank you, SweetCruiser!

I'm on the Oct. 11 sailing, leaving from Greece. All on that sailing got an email this morning saying a 24% VAT will apply to all goods, services, food and drink for the entire duration of the cruise.

 

Aside from all the other issues this raises, can anyone who's recently sailed on Vista tell me if VAT is charged on Carnival excursions or on the internet package? Both are services.

We're on that cruise and did not receive an e-mail about this.

We're on that cruise and did not receive an e-mail about this.

Did you book through a travel agent? If so, they should have notified you, but we got notification from both CCL and our travel agent.

You can read a copy of it here:

http://view.carnivalcruiselineemail.com/?qs=8eb5c7f103041b498036c5d4433efb8d6fb42993f6550d009ebc4f3a1324647c1fd4bf6de650503c6d1f02f74603e5639f875eaadddc8c87

Did you book through a travel agent? If so, they should have notified you, but we got notification from both CCL and our travel agent.

 

You can read a copy of it here:

 

http://view.carnivalcruiselineemail.com/?qs=8eb5c7f103041b498036c5d4433efb8d6fb42993f6550d009ebc4f3a1324647c1fd4bf6de650503c6d1f02f74603e5639f875eaadddc8c87

Thanks. We booked through a Carnival PVP.

Thanks. We booked through a Carnival PVP.

Then you certainly should have been notified by Carnival.

Thanks. We booked through a Carnival PVP.

Hi Cruises42, we also booked through PVP and haven't received email. I have just sent an enquiry email off. Cheers, J

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Did you book through a travel agent? If so, they should have notified you, but we got notification from both CCL and our travel agent.

 

You can read a copy of it here:

 

http://view.carnivalcruiselineemail.com/?qs=8eb5c7f103041b498036c5d4433efb8d6fb42993f6550d009ebc4f3a1324647c1fd4bf6de650503c6d1f02f74603e5639f875eaadddc8c87

Are you sure this is a serious message? When did you get it? Did you contact Carnival if this letter is correct? We are going on the same Cruise as you are and we didn´t get any information on special taxes.

And also, do they mean, normal price + 15% tip + 24% tax?

Or how do I have to understand this letter?

I'm a little confused....

Are you sure this is a serious message? When did you get it? Did you contact Carnival if this letter is correct? We are going on the same Cruise as you are and we didn´t get any information on special taxes.

And also, do they mean, normal price + 15% tip + 24% tax?

Or how do I have to understand this letter?

I'm a little confused....

Yes I’m sure this is serious/real; why would you doubt it?

It's dated Sept. 13 and that is when I and other Oct. 11 cruisers received it. It's been pretty much all we've talked about since we received it.

I have contacted Carnival about this and have yet to receive a reply. Another person on this cruise asked John Heald about it on his Facebook page and John confirmed it.

I can't explain why didn't receive it. If you booked through a travel agent, I suggest you contact him/her. I also suggest you check your spam file in your email account. Aside from that I can’t offer you any explanation why you weren’t notified.

Yes, the email is saying this is normal price + gratuity + VAT (24%). For the steakhouse where gratuity is already included in the price, it would be $35 + $8.40 (24% of $35).

As the letter explains, since our stop in Turkey, a non-European Union (EU) country, was canceled, we are now subject to (EU) taxes since all our stops will be in EU countries. Those are the rules for EU countries.

The letter is very straightforward in its message and is genuine.

I strongly suggest you Google the term “Europe Value Added Tax (VAT)” and you will get more information. There are more rules than this and the VAT rate varies from country to country. Also, if you are not a citizen of an EU country, under some circumstances you can request a refund of some VAT. You need to read about that, too.

Hi Cruises42, we also booked through PVP and haven't received email. I have just sent an enquiry email off. Cheers, J

 

 

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I meant to send our PVP an e-mail today but was so buys I never got around to it.

@featherw8

I just couldn't believe they would just cancel those packages like this, but your explanation seems plausible. Thank you!

It would be great if you also just post a quick information if you get a confirmation from Carnival or another authority. We are going to check with our agency too.

Hopefully, the service with drinks and stuff is not as bad as it seems right now, before we booked the cruise we had a much better impression of the service.

I totally agree that the tax situation is completely misunderstood by carnival and in particular the remove of drinks packages with the excuse of it will be less beneficial is ridiculous. So instead you can only now buy individual drinks plus 24% tax plus 15 % grats which now means an $8 drink costs $11.12

I believe there was an old system where you could purchase drinks vouchers at fixed price $5.95 could this be an option

Or better still, Instead of day at sea we could put the port back for a few hours but stop anyone leaving the ship. It it saves me 24% tax I'm not bothered If I cannot leave the ship[emoji3][emoji3]

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I totally agree that the tax situation is completely misunderstood by carnival and in particular the remove of drinks packages with the excuse of it will be less beneficial is ridiculous. So instead you can only now buy individual drinks plus 24% tax plus 15 % grats which now means an $8 drink costs $11.12

I believe there was an old system where you could purchase drinks vouchers at fixed price $5.95 could this be an option

Or better still, Instead of day at sea we could put the port back for a few hours but stop anyone leaving the ship. It it saves me 24% tax I'm not bothered If I cannot leave the ship[emoji3][emoji3]

 

That $8 drink would actually become 11.41 as the tax is applied to the service charge too.

I dont think they are saying it will be beneficial but claiming they cant do it any other way.

Maybe we should all get in touch with all the other cruise lines selling drinks packages and tell them they are doing it wrong..... and insist they also tax all the food as they should follow their "what it would have cost" tax guidelines and charge VAT on all food consumed and not just drinks that have been pre-bought. :p

Hello everyone welcome to the crazy twilight world of Carnival cruises and their application of VAT. We sailed on the 26 August sailing and they charged us 21% VAT on drinks and goods despite my protestation with guest services. It even states on their own website in FAQ that it should only be 10% on drinks. But no, they just ignore their own rules and literature and just charged the 21%

https://help.carnival.com/app/answer...added-tax-(vat)

I was not informed of this by my TA or Carnival prior to cruising

I have lodged complaints with Carnival to get the 11% balance refunded and I await their reply. There seems to be misunderstanding/misinformation on here.

Just to be clear. If goods or services are purchased within one EU member country and taken or consumed in another NO FURTHER VAT IS DUE. If VAT is paid on goods or services in one member country it is deemd to have been payed in ALL EU member countires and you can take it where you like.

That is EU law and no amount of misunderstanding or misinformation posted on here will change that. So Carnival should not change the VAT rate during the cruise if only stopping at EU countires, the VAt is charged from the country of origin in my case Spain. This applies to a cruise stopping in only EU countries.

This also applies to people who have bought their drinks packages within the EU. NO FURTHER VAT CAN BE CHARGED ABOARD as you have purchased it in a EU member state and consuming it in another VAT is deemed to have been paid in ALL EU countries,they will try to do it but do not accept it, they are well aware of it but blatantly ignoring it.

How can they get this so wrong. Carnival customer care is woeful and they are ripping people off it is as simple as that. Loved the cruise but do not rate Karnyval as a company and will never use them again. Check out the other VAT threads on here.

Oh a little help, if you use the self serve beer pumps in the pub and dining rooms it is $5. If a bartender pours the same drink 2 metres away it jumps to $7.19. Pour you own and save a bundle on VAT and service charges.

Hello everyone welcome to the crazy twilight world of Carnival cruises and their application of VAT. We sailed on the 26 August sailing and they charged us 21% VAT on drinks and goods despite my protestation with guest services. It even states on their own website in FAQ that it should only be 10% on drinks. But no, they just ignore their own rules and literature and just charged the 21%

 

https://help.carnival.com/app/answer...added-tax-(vat)

 

I was not informed of this by my TA or Carnival prior to cruising

 

I have lodged complaints with Carnival to get the 11% balance refunded and I await their reply. There seems to be misunderstanding/misinformation on here.

 

Just to be clear. If goods or services are purchased within one EU member country and taken or consumed in another NO FURTHER VAT IS DUE. If VAT is paid on goods or services in one member country it is deemd to have been payed in ALL EU member countires and you can take it where you like.

 

That is EU law and no amount of misunderstanding or misinformation posted on here will change that. So Carnival should not change the VAT rate during the cruise if only stopping at EU countires, the VAt is charged from the country of origin in my case Spain. This applies to a cruise stopping in only EU countries.

 

This also applies to people who have bought their drinks packages within the EU. NO FURTHER VAT CAN BE CHARGED ABOARD as you have purchased it in a EU member state and consuming it in another VAT is deemed to have been paid in ALL EU countries,they will try to do it but do not accept it, they are well aware of it but blatantly ignoring it.

 

How can they get this so wrong. Carnival customer care is woeful and they are ripping people off it is as simple as that. Loved the cruise but do not rate Karnyval as a company and will never use them again. Check out the other VAT threads on here.

You have it stated 100% correct....I'm

On the Oct 1st sailing and experience expected the 10% Vat on drinks and food since we're leaving from a Spain.....this changing it up

To 24% once we reach Greece is crazy and not within the law....for the cruises debatking from Athens it would be but they just don't know what they r doing

And we get free drinks in the casino but have told they will be taxed based on 10% and then the 24% with the "What it would of cost" theory 😡🍺🙈🙈

There maybe a glimmer of hope for 1st and 11th October sailings with the withdrawal of the cheers program. Instead they will be offering the drinks individually at cheers prices[emoji3]

Not sure how this will work or what the end price will be I'm hoping I can order 15 drinks for 49.95 + grats

They did not mention about soft drinks though and I'm holding my breath until I get the email from them confirming this.

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There maybe a glimmer of hope for 1st and 11th October sailings with the withdrawal of the cheers program. Instead they will be offering the drinks individually at cheers prices[emoji3]

Not sure how this will work or what the end price will be I'm hoping I can order 15 drinks for 49.95 + grats

They did not mention about soft drinks though and I'm holding my breath until I get the email from them confirming this.

 

 

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His is what I received from my PVP in response to query as we did not receive email from Carnival:

"What is the Value Added Tax (VAT)?

The Value Added Tax, also known as VAT, is an indirect tax that applies on cruises sailing within the European Union (EU) only. All intra-European Union voyages will be subject to VAT on most shipboard purchases. We are required by law to charge VAT.

Who is required to pay the VAT?

All guests will be charged the appropriate VAT at the point of sale or when a taxable service is provided. However, guests who are Non-EU citizens (like U.S. citizens and other countries) can reclaim a portion of the VAT paid on purchases where a VAT has been assessed on approved VAT purchases.

How much is the Value Added Tax (VAT)?

9/23/16 sailing from Barcelona

· A 10% VAT is charged on Bar & Food purchases. During the entire cruise.

· VAT on CHEERS! /Bottomless Bubbles will be taxed on the package price.

· A 21% VAT is charged on purchases at FunShops, Spa, Pixels (products, clothing, jewelry, etc.) during the entire cruise.

10/01/16 sailing from Barcelona

· A 10% VAT is charged on Bar & Food purchases. Once we reach Crete, the VAT increases to 24% for the remainder of the cruise.

· A 21% VAT is charged on purchases at FunShops, Spa, Pixels, (products, clothing, jewelry, etc.) for the entire cruise.

· CHEERS! /Bottomless Bubbles are not available on this voyage.

10/11/16 sailing from Athens

· A 24% VAT is charged on food and drinks at bars and restaurants, and on purchases at FunShops, Spa, Pixels, (products, clothing, jewelry, etc.) for the entire cruise.

· CHEERS! /Bottomless Bubbles are not available on these voyages.

10/21/16 Transatlantic sailing from Barcelona

· A 10% VAT is charged on Bar & Food purchases while in Spanish waters.

· VAT on CHEERS! /Bottomless Bubbles will only be charged during the 6 hours the ship is in Spanish waters.

· No tax on Gift Shop, Spa, Photo "

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Depending on the member state, some goods and services are taxable outside of their territory. It seems to fall under the Community Section which is inconsistent at best.

The Greek National Tax Administration website is here:

http://www.gsis.gr/gsis/info/gsis_site/index.html

another source of information:

http://www.mnec.gr/

One can search for VAT on other CC cruise line sections and see many people are confused by it.

Depending on the member state, some goods and services are taxable outside of their territory. It seems to fall under the Community Section which is inconsistent at best.

Fabrication. Of course you can support this claim with a link and the relevant information? Carnival cant unfortunately.

The Greek National Tax Administration website is here:

http://www.gsis.gr/gsis/info/gsis_site/index.html

Super. Are you planning on working in Greece and want to know their personal and business tax laws? I suspect its why Carnival are so confused if they used that site. Looks all Greek to me.

One can search for VAT on other CC cruise line sections and see many people are confused by it.

I think I can have a very good guess at the carnival blog you are referring to.

I think I can have a very good guess at the carnival blog you are referring to.

CC = Cruise Critic

NCL, RCCL forums, etc.

One such reference...

3.1.1. Concept of ‘the Community section’

of a passenger transport effected in the

Community

In at least three Member States the definition

of the Community section is not entirely clear

6

.

Typically certain elements of the definition ar

e missing – for example, there is no definition

of the point of departure and/or the point of a

rrival or the definition used is only a partial one.

In one Member State there is no defin

ition of the Community section at all.

In five Member States the onboard supply of

goods and services is taxable to a different

extent outside their territory, re

gardless of where – inside or

outside the Community section –

they should have been taxed in accordance with the rules

7

.

Council Implementing Regulation (EU) No

282/2011 (hereinafter: 'VAT Implementing

Regulation')

8

has provided some clarif

ication, but this differentia

tion remains complicated and

leaves the door open to misinter

pretation and inconsistency.

CC = Cruise Critic

 

NCL, RCCL forums, etc.

I looked and I can't see any reference to any cruise companies drinks packages being withdrawn or any drinks obtained using pre purchased packages being charged this "what it would have cost' imaginary tax invented by carnival. Of course you could post a link to any such complaint outside of the carnival section if you can find one. Good luck with that. :D

His is what I received from my PVP in response to query as we did not receive email from Carnival:

 

"What is the Value Added Tax (VAT)?

The Value Added Tax, also known as VAT, is an indirect tax that applies on cruises sailing within the European Union (EU) only. All intra-European Union voyages will be subject to VAT on most shipboard purchases. We are required by law to charge VAT.

 

Who is required to pay the VAT?

All guests will be charged the appropriate VAT at the point of sale or when a taxable service is provided. However, guests who are Non-EU citizens (like U.S. citizens and other countries) can reclaim a portion of the VAT paid on purchases where a VAT has been assessed on approved VAT purchases.

 

How much is the Value Added Tax (VAT)?

 

9/23/16 sailing from Barcelona

 

· A 10% VAT is charged on Bar & Food purchases. During the entire cruise.

· VAT on CHEERS! /Bottomless Bubbles will be taxed on the package price.

· A 21% VAT is charged on purchases at FunShops, Spa, Pixels (products, clothing, jewelry, etc.) during the entire cruise.

10/01/16 sailing from Barcelona

 

· A 10% VAT is charged on Bar & Food purchases. Once we reach Crete, the VAT increases to 24% for the remainder of the cruise.

· A 21% VAT is charged on purchases at FunShops, Spa, Pixels, (products, clothing, jewelry, etc.) for the entire cruise.

· CHEERS! /Bottomless Bubbles are not available on this voyage.

10/11/16 sailing from Athens

 

· A 24% VAT is charged on food and drinks at bars and restaurants, and on purchases at FunShops, Spa, Pixels, (products, clothing, jewelry, etc.) for the entire cruise.

· CHEERS! /Bottomless Bubbles are not available on these voyages.

10/21/16 Transatlantic sailing from Barcelona

 

· A 10% VAT is charged on Bar & Food purchases while in Spanish waters.

· VAT on CHEERS! /Bottomless Bubbles will only be charged during the 6 hours the ship is in Spanish waters.

· No tax on Gift Shop, Spa, Photo "

 

 

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This appears to be confirmed by what is on the Carnival website.

https://help.carnival.com/app/answers/detail/a_id/3809/~/value-added-tax-(vat)