Legislative changes to VAT exemption for vessels

Legislative changes to VAT exemption for vessels

View this page in: Romanian
18 July 2014

In brief

Order no. 917/2014 of the Minister of Public Finance which includes changes to the VAT exemption applicable to vessels has been recently published.

In detail

This Order amends the Instructions for the application of the VAT exemption to the operations laid down in art. 143, para. (1) letter a) - i), art. 143 para. (2) and art. 144^1 of Law 571/2003 on the Fiscal Code, as amended and supplemented, approved by Order no. 2222/2006 of the Minister of Public Finance.

Clarifications are provided on the applicability of the VAT exemption for vessels assigned to navigation on the high seas.

The concept “high seas” is defined as the sea area located beyond the outer limit of the territorial sea, namely beyond 12 nautical miles.Apply body text style (included in the style sheet).

[Source: The Official Gazette no. 528 of 16 July 2014]

The takeaway

Vessels navigating beyond the 12 nautical mile limit, as well as their connected services, should qualify for the VAT exemption.

 

For a deeper discussion of how this new legislation might affect your business, please contact: 

Mihaela Mitroi
Partner
Mihaela.Mitroi@ro.pwc.com
Ionuţ Simion
Partner
Ionut.Simion@ro.pwc.com

Daniel Anghel
Partner
Daniel.Anghel@ro.pwc.com
Diana Coroabă
Partner
Diana.Coroaba@ro.pwc.com

 

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