Spanish VAT

[cruiseaholic78]

Will someone confirm that if we buy and prepay beverage cards and/or wine packages that we will not have to pay the additonal applicable VAT which is I think 10% at the moment. This of course Is not not the service charge that will HAL will be charging.

Rosalyn

[Alberta Quilter]

I can't confirm it but if you order for delivery "at sea" you should not be charged the tax. It's been reported that, even with ordering delivery at sea, your purchases will likely be in your stateroom upon boarding.

[Mary Ellen]

Cruises embarking in Barcelona are a different situation than what we typically encounter. Spain wants the VAT collected even while 'at sea' depending upon the itinerary. From my understanding, if the cruise is a transatlantic the VAT stops being charged much sooner. If the cruise stays in the Med, the VAT could be charged the entire cruise.

 

I know I've given up trying to understand the intricacies of the Spanish VAT and just trust the ship to charge appropriately. Hopefully someone with expertise in this can clarify.

[Tampa Girl]

Will someone confirm that if we buy and prepay beverage cards and/or wine packages that we will not have to pay the additonal applicable VAT which is I think 10% at the moment. This of course Is not not the service charge that will HAL will be charging.

Rosalyn

 

Have you posed this question to HAL? For whatever that is worth.

[cruiseaholic78]

Tampa Girl;47321922 Have you posed this question to HAL? For whatever that is worth.

Yes I did actually but as it was obvious that she had no idea what I was talking about I gave up and thought I would post here.

Rosalyn

[kazu]

Cruises embarking in Barcelona are a different situation than what we typically encounter. Spain wants the VAT collected even while 'at sea' depending upon the itinerary. From my understanding, if the cruise is a transatlantic the VAT stops being charged much sooner. If the cruise stays in the Med, the VAT could be charged the entire cruise.

 

I know I've given up trying to understand the intricacies of the Spanish VAT and just trust the ship to charge appropriately. Hopefully someone with expertise in this can clarify.

 

agree with Mary Ellen. The Spanish seem to think that when you are in "their waters" that the VAT can be charged. Once you are out of Spanish waters, it all changes to normal.

 

Can't answer the beverage card question as we didn't get one on those cruises.

 

 

Tampa Girl;47321922 Have you posed this question to HAL? For whatever that is worth.

Yes I did actually but as it was obvious that she had no idea what I was talking about I gave up and thought I would post here.

Rosalyn

 

I doubt Seattle could help you Rosalyn. I suspect if you go to the Ports Boards, there may be some answers or at least some thoughts on this.

 

The Spanish VAT has been going on for a while but things can change.

 

hope this helps ;)

[jtl513]

Will someone confirm that if we buy and prepay beverage cards and/or wine packages that we will not have to pay the additonal applicable VAT which is I think 10% at the moment. This of course Is not not the service charge that will HAL will be charging.

Rosalyn

I think the rule is that if your cruise is entirely within the EU then Spain wants the VAT for the entire cruise, but if you make a stop outside the EU (say Tunisia) then they don't.

 

FWIW when we did a T-A which started with an overnight in Barcelona, had a sea day, and stopped in Cadiz, we never paid any VAT.

[VMax1700]

Presuming that you are sailing from Barcelona...........

We recently did the 11 day Zuiderdam Barcelona to Roma (Civitivecchia). We were charged IVA (Spanish vat) on purchases from the 'Duty free shop'. We were not charged anything extra on drinks except the 15% service charge. I don't know if this is correct procedure, but I didn't argue the case. Specially as we were not charged on the drinks. :D

[jody75]

This is not a new tax, it has existed for many years.

The way cruiselines avoid the passengers paying the tax is to include a non-EU port within the itinerary. If every port is in the EU you will be charged between 10% - 21% on everything you spend onboard that includes all drinks, specialty dining, excursions, shop purchases whether the ship is in port or at sea, every minute of your cruise. There was a debate whether a further 10% was added to your gratuities as well, unsure if that applies or not. Purchases made on-line prior to boarding are exempt from the tax.

Non-EU residents can reclaim this tax either at the last port of call or exit airport, they complete a form and will get the tax back within 6 weeks of the application. All receipts are required and only applies to expenditure over $95.

Edited August 3, 2015 by jody75

[mickey89]

I endorse what Jody75 has outlined, that is exactly what happened on our Celebrity Equinox cruise immediately following its transatlantic crossing in May this year.

Also there are moves afoot, spearheaded by Spain to charge all cruise passenger the Hotel Charge which is applicable in spanish hotels, this has been quoted at between 5-7% of the cruise fare. Currently the cruiselines are resisting this charge, how successfully time will tell, best is to ensure you choose a cruise that includes a non-EU port.

Edited August 3, 2015 by mickey89

[Tennessee Titan]

My experience on TAs is that the 10% is only put on your bill when ordering while docked in a port. Nothing at sea....

[mickey89]

My experience on TAs is that the 10% is only put on your bill when ordering while docked in a port. Nothing at sea....

That is extremely concerning, we never paid any VAT on anything on our T/A with Celebrity whether in port or at sea. It appears to me that if the cruiselines apply this tax so differently it begs the question, Do they pass it on or keep it themselves?

[kazu]

That is extremely concerning, we never paid any VAT on anything on our T/A with Celebrity whether in port or at sea. It appears to me that if the cruiselines apply this tax so differently it begs the question, Do they pass it on or keep it themselves?

 

TA's are different than cruising in the Med. I believe if the ship is not arriving at another Spanish port it makes a difference, somehow. We did not experience the VAT once we are at sea on our TA out of BCN either, but when we stayed in the Med and were visiting another port on a different cruise, we did.

 

The cruise lines don't keep it. It's a matter of regulation and when they have to collect it.

 

Our November cruise involves several Spanish ports so I will certainly report what applies on it.

 

The On Location normally warns you if there is any VAT in place and when, so you are pre-advised in my experience.

[mickey89]

The cruise lines don't keep it.

 

Bold statement, of course you know this as a fact I suppose, don't be so naïve.

Can you explain WHY HAL apply Florida tax to drinks when in port in Fort Lauderdale and Celebrity don't ? Very strange to me, back pockets of HAL I expect.

Edited August 4, 2015 by mickey89

[kazu]

Bold statement, of course you know this as a fact I suppose, don't be so naïve.

Can you explain WHY HAL apply Florida tax to drinks when in port in Fort Lauderdale and Celebrity don't ? Very strange to me, back pockets of HAL I expect.

 

really? You can call me a lot of things, but naïve isn't one of them. You think a Cruise Line is going to not pay tax that is owing to a Government? Tax charged in port does not just happen in one port. It depends upon the ports and if a sales tax is levied there. (ie. Fort Lauderdale). Cruise Lines are not going to break the law. Ramifications are too high.

[catl331]

OP, I looked at your itinerary and saw that you visit Montenegro. That is not yet in the EU, which means you should not have to pay the Spanish VAT for the full cruise.