VAT on Canary Island Cruise from Southampton

[happy_travellers]

Hi

Could anyone clarify how the VAT tax will work on our cruise. RCL Explorer of the Seas from Southampton with stops in Maderia, Gran Canary, Lanzarote, Tenerife and Vigo,Spain.

 

On board the ship what will have the extra tax and how much is the VAT tax? First time having a cruise with this tax.

 

Thanks Karen

[SonicShip]

Hi Karen,

 

VAT, Value Added Tax is a sales tab that can range from 8 to 23% depending on the goods and the EU country that the transaction happens in. I believe that if a cruise leaves an EU port and does not visit a non EU port, then VAT has to be paid on all purchases. For example bar sales might be taxed at 10% and a retail purchase at 23%.

 

You may be able to get a rebate on big purchases that are not consumed on the ship. There are VAT refund program.

 

It might be a good idea to purchase somethings like a drinks package before you board if there is no VAT to buy online.

[Enforcer]

Hi,

 

I don't think that VAT is on anything that you buy on board. The shops open once you are outside the three mile territorial limit where items are duty free.

 

VAT is added into the price in most shops in Europe, it tends only to be displayed as separate items in places such as Cash and Carry/Costco where traders will claim the VAT back.

 

I think that Tenerife and Gran Canaria are duty free islands, but that is going from memory.

 

Pete

[nelblu]

If there's a non EU port in the itinerary there's no VAT incurred. For instance, on the Med. cruises there's a stop in Kotor, Montenegro and as far as I know, Montenegro is not in the EU. In your case, the trip starts in England and it is not part of the EU zone.

[peteukmcr]

If there's a non EU port in the itinerary there's no VAT incurred. For instance, on the Med. cruises there's a stop in Kotor, Montenegro and as far as I know, Montenegro is not in the EU. In your case, the trip starts in England and it is not part of the EU zone.

England is not part of the EU 'zone' ? Where did you get that info from? We are definitely part of the EU.

[peteukmcr]

If there's a non EU port in the itinerary there's no VAT incurred. For instance, on the Med. cruises there's a stop in Kotor, Montenegro and as far as I know, Montenegro is not in the EU. In your case, the trip starts in England and it is not part of the EU zone.

please stop posting incorrect information

[icsys]

Hi

Could anyone clarify how the VAT tax will work on our cruise. RCL Explorer of the Seas from Southampton with stops in Maderia, Gran Canary, Lanzarote, Tenerife and Vigo,Spain.

 

On board the ship what will have the extra tax and how much is the VAT tax? First time having a cruise with this tax.

 

Thanks Karen

 

Gran Canary, Lanzarote and Tenerife (although part of Spain) are outside the EU zone and therefore is exempt from VAT duty. (I assume the same for Madeira which is part of Portugal)

 

So according to RCI if there's a non EU port in the itinerary there's no VAT incurred. (Often referred to as Spanish tax I think)

Edited March 28, 2015 by icsys

[Kevin's girl]

England is not part of the EU 'zone' ? Where did you get that info from? We are definitely part of the EU.

I got this from Wikipedia:

The eurozone consists of Austria, Belgium, Cyprus, Estonia, Finland, France, Germany, Greece, Ireland, Italy, Latvia, Lithuania, Luxembourg, Malta, the Netherlands, Portugal, Slovakia, Slovenia, and Spain. Other EU states (except for Denmark and the United Kingdom) are obliged to join once they meet the criteria to do so.

 

The OP may find helpful:

 

[/url]The eurozone ( (·)), officially called the euro area, is a of 19 (EU) that have adopted the (€) as their common currency and sole .

 

Our last cruise left from Harwich and we were not charged any VAT charges while on board.

Edited March 28, 2015 by Kevin's girl

[nelblu]

please stop posting incorrect information

 

You've got one leg in the EU as you do not use the Euro. Enlighten me please. If the cruise starts in the UK and the other ports are EU nations, is the entire trip subject to the UK VAT%.

[IrishComet]

When I sailed from Malaga to canaries, there was no vat charged, after you departed

[kernow]

I think people are getting confused with the EU and the euro zone. EU stands for European union which we are definitely part of, the euro zone are countries which use the euro as their currency which we do not.

 

As already mentioned the Canary Islands, even though part of Spain are a duty free area so there is no VAT charged on these cruises. Gibraltar is another stop on some Med cruises which is also duty free.

 

Julie

[Shelley61]

I heard that if you stop at a Spanish port then Spanish VAT would be chargeable on all on board transactions, unless the ship stopped in a non-EU port. The first cruise we were on stopped at Gibraltar (I like to think that this is done partly to p*** the Spanish off ;)), so no Spanish VAT was applicable.

 

It may be the same could be said with other cruises too. Our second cruise was to Iceland and Norway so both non-EU, and we didn't have to pay any additional charges on board.

 

As the Explorer cruise goes to the Canaries (non EU) again I am not expecting any additional charges to be due.

 

On another point, RCCL normally incorporates the additional tips into the actual price of the drinks when sailing from Southampton (due to us Brits not really understanding the American concept of tipping, but we won't go down that road!). So, expect drinks to appear even more expensive than they normally are, but don't expect to have to tip further unless you really want to.

 

(p.s. OP - assuming you mean the 18th September cruise, we're on the same one - if you've not found us already, there's a fairly quiet roll call on the go at the moment).

[nelblu]

I think people are getting confused with the EU and the euro zone. EU stands for European union which we are definitely part of, the euro zone are countries which use the euro as their currency which we do not.

 

As already mentioned the Canary Islands, even though part of Spain are a duty free area so there is no VAT charged on these cruises. Gibraltar is another stop on some Med cruises which is also duty free.

 

Julie

 

That was my point vis-à-vis the VAT and the UK.

[SonicShip]

For the record Gibraltar is part of the EU (special territory) but is VAT free jurisdiction.

 

en.wikipedia.org/wiki/Special_member_state_territories_and_the_European_Union:

 

Gibraltar is part of the EU, having joined the European Economic Community under the United Kingdom in 1973. Article 355(3) (ex Article 299(4)) applies the treaty to "the European territories for whose external relations a Member State is responsible", a provision which in practice only applies to Gibraltar.

[SonicShip]

Hi

Could anyone clarify how the VAT tax will work on our cruise. RCL Explorer of the Seas from Southampton with stops in Maderia, Gran Canary, Lanzarote, Tenerife and Vigo,Spain.

 

On board the ship what will have the extra tax and how much is the VAT tax? First time having a cruise with this tax.

 

Thanks Karen

 

Since the Canary Island are outside the EU VAT area, then the cruise is most likely VAT free once you are in international waters.

[moogiechompy]

Since the Canary Island are outside the EU VAT area, then the cruise is most likely VAT free once you are in international waters.

 

This is correct, people are getting confused between EU, the Eurozone and the VAT area. The Canary Islands are VAT free, therefore the ship's sales are VAT free in international waters. However with regards to the Spanish sales tax, the duty is charged when the ship is docked at a Spanish port or in spanish waters, i.e. if you buy a drink onboard while docked in a spanish port you will be charged 8% extra etc.

Edited March 28, 2015 by moogiechompy

[MToursMontenegro]

 

 

Mladen

M Tours

 

Sent from my iPhone

Edited April 6, 2015 by MToursMontenegro