??--European cruises that do not leave the EU

[rochelle_s]

I have a question specific to NCL regarding cruises that do not leave the EU.

 

I understand that cruises that do not visit a country outside the EU are subject to VAT tax on board. Does anyone know exactly what items will be taxed ? Store purchases. drinks, specialty dining?

 

I have personally booked our 14 day cruise as two separate cruises. Wold i be correct to assume that VAT will be charged on the week we do not leave the EU Greek Isles) but will not be charged the week we do leave the EU (Turkey)?

 

Does anyone have first hand knowledge about booking this 14 day trip with NCL as one booking? Was VAT never charged?

 

Finally does anyone know the tax percentage currently being charged?

 

 

Thanks for your help.

 

 

Rochelle

[rochelle_s]

I started this thread and there had been a couple of responses. I have returned to the thread and those responses are now not showing. Has anyone else had this happen to a thread they have started? The thread itself is not removed as I found it on page 4.

 

 

Weird to say the least! - ?

 

 

Rochelle

[AF-1]

Rochelle, I am on your same cruise. I tagged along on this post to see if we get any answers to your question. I will also ask question on another cruise link

[Demonyte]

Does anyone have first hand knowledge about booking this 14 day trip with NCL as one booking? Was VAT never charged?

 

 

How you book has no effect on how the VAT is charged, it is done ship wide, not by passenger. Even when you have booked a combined itinerary, technically you are on two separate cruises in the eyes of tax laws because that is what the ship does.

[insidecabin]

UDP and UBP get round the problem.

[Demonyte]

UDP and UBP get round the problem.

 

 

Still affects shops.

[insidecabin]

Never bought anything in the shops unless desperate.

 

Who goes on a cruise in Europe to go shopping on the ship?

[Demonyte]

Never bought anything in the shops unless desperate.

 

Just because you don't doesn't mean that nobody wouldn't.

 

For example we almost always purchase liquors from onboard shops (Dufry has had very competitive 2-bottle package prices for quite long time now), specific cosmetics are also cheaper than on shore.

 

Who goes on a cruise in Europe to go shopping on the ship?

 

Especially when euro was stronger (last few years until this fall), the dollar prices onboard regardless of the itinerary were really cheap for us - you don't find such prices in most ports on Med itineraries.

 

For example the rum we bought onboard Jade last May/June was almost half the price compared to euro prices (incl tax) in any port city or airport on that vacation. Same applies also to many other products sold onboard.

Edited January 3, 2015 by Demonyte

[AF-1]

Since we have not figured this VAT tax out; lets assume, if you buy anything in the onboard shops, photo shop; liquor, t-shirts, jewelry, etc you will be paying the VAT tax on the portion of the trip that only goes to EU ports.

[rochelle_s]

Since we have not figured this VAT tax out; lets assume, if you buy anything in the onboard shops, photo shop; liquor, t-shirts, jewelry, etc you will be paying the VAT tax on the portion of the trip that only goes to EU ports.

 

Yes and someone previously posted that the VAT they were charged was 10%.

 

I am glad we have the UBP. I think some folks might have a little sticker shock when purchasing drinks. 10% VAT and 15% gratuity might be a very big leap for folks who are not used to these fees being added onto a bill.

 

 

Rochelle

Edited January 4, 2015 by rochelle_s

[cowtowngals]

We have dealt with the VAT tax on the two cruises we did through the Greek Islands. On our last cruise on the Jade in May we did a 14 day sailing and only had the VAT tax in effect for the second week (Greek Isles week). The VAT doesn't apply to food or drink purchased on the ship in restaurants and bars but does apply to purchases in the gift shops and photo galleries. I think it also applies to spa services as well but I'm not 100% certain on that as we didn't do the spa on our last cruise through Greece but did on our first one and I believe there was a VAT tax. I think the VAT was 12% on our most recent trip. If you make purchases over a certain dollar amount the ship gives you a form that you can fill out to have the VAT refunded. You send it in. This was used by people who were buying pricier jewellery items for the most part. The ship provides you with a great hand out explaining it all. We were encouraged to buy our week one photos before we went to VAT to save us the money and we made most of our gift shop (Liquor) purchases in the VAT free week.

[em-sk]

We have dealt with the VAT tax on the two cruises we did through the Greek Islands. On our last cruise on the Jade in May we did a 14 day sailing and only had the VAT tax in effect for the second week (Greek Isles week). The VAT doesn't apply to food or drink purchased on the ship in restaurants and bars but does apply to purchases in the gift shops and photo galleries. I think it also applies to spa services as well but I'm not 100% certain on that as we didn't do the spa on our last cruise through Greece but did on our first one and I believe there was a VAT tax. I think the VAT was 12% on our most recent trip. If you make purchases over a certain dollar amount the ship gives you a form that you can fill out to have the VAT refunded. You send it in. This was used by people who were buying pricier jewellery items for the most part. The ship provides you with a great hand out explaining it all. We were encouraged to buy our week one photos before we went to VAT to save us the money and we made most of our gift shop (Liquor) purchases in the VAT free week.

 

It has been a while since I have been on the EPIC Western Med cruise. At the time, the duty free had VAT applied but then NCL applied a discount to the price equal to the VAT.

 

I have no idea if that is that is still the practice or if it applies to all ships.

[QuattroRomeo]

We were charged 22% VAT for shop purchases on our Nov Med cruise on the Jade. Bought a watch (inexpensive) and cologne on board. Cologne would have been cheaper at a duty free.

[hawkeyetlse]

VAT is charged if your cruise does not leave the EU VAT area, but the exact rate and which categories of things are subject to VAT depend on the country of departure (for example, Spain vs Italy). We just got back from a round trip out of Rome that did not leave the EU, and Italian VAT was charged on gift shop and photo gallery purchases, but not on drinks and drink packages or on restaurants and dining packages. Basically, good and services consumed on board were tax-free, but goods sold to be taken off the ship were taxed. Non-EU residents can claim a tax refund for purchases over $150 or so, just like on land.

[Froggitt]

Since we have not figured this VAT tax out; lets assume, if you buy anything in the onboard shops, photo shop; liquor, t-shirts, jewelry, etc you will be paying the VAT tax on the portion of the trip that only goes to EU ports.

And the rate of VAT paid is dependent on

• which EU country you are departing from
  
• the type of goods you are buying (e.g. alcohol may be different rate of VAT to t-shirts)
  
• how well NCL understands the VAT regulations applicable in each country
  

[Sparkygirl]

We have never encountered a VAT tax issue, we make our purchases expecting a 25% tax on all items we buy. The rates are often less than that but for our budgeting purposes we want to be over the amount. Each port often has a representative regarding the VAT program for their country. We stop in and get the necessary paperwork or website for us to submit our information. VAT Tax refund paperwork can not be turned in while you are in that country. It has to be post marked from an area outside the VAT region.

 

A previous poster stated NCL will give you the form if your purchases are over a certain amount, we don't buy that much onboard which is why we get the VAT paperwork in the ports, almost all purchases except food and drink have a VAT exemption for a tourist for personal use.

[philip_eunice1]

Turkey is part of the EU

 

 

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[Froggitt]

Oh no its not........

[Sparkygirl]

The European Union (EU) is an economic and political union of 28 countries. It operates an internal (or single) market which allows free movement of goods, capital, services and people between member states.

EU countries

The EU countries are:

 

Austria, Belgium, Bulgaria, Croatia, Republic of Cyprus, Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Ireland, Italy, Latvia, Lithuania, Luxembourg, Malta, Netherlands, Poland, Portugal, Romania, Slovakia, Slovenia, Spain, Sweden and the UK.

 

The European Economic Area (EEA)

The EEA includes EU countries and also Iceland, Liechtenstein and Norway. It allows them to be part of the EU’s single market.

 

Switzerland is neither an EU or EEA member but is part of the single market - this means Swiss nationals have the same rights to live and work in the UK as other EEA nationals.

 

 

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[AF-1]

Sparkygirl is correct; there is no sign of Turkey being part of the EU. They have their own Turkish money

[Froggitt]

Here is a list of a selection of European groupings that countries may or may not be a member of....

 

[philip_eunice1]

Uk has there own money but is a member of the eu

But stand corrected with a little more research Turkey are trying to become an eu country my apologies

 

 

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[rochelle_s]

I know that Croatia joined the EU in 2013. My understanding is that they still use there own currency and that we will need it for some things when we visit (ie. public transportation in Dubrovnik), as was the case when I visited in 2009 well before it joined the EU.

 

 

Thanks everyone who has provided some input, especially first hand experiences.

 

 

Rochelle

[SteveH2508]

Just to confuse the whole VAT thing, there are some places which are sort of part of the EU but are not part of the VAT area e.g. Canary Islands; Gibraltar; Channel Islands (and others). If you dock at one of these places then you do not pay VAT during the whole cruise.