20/06/2012 00:00
TW
0

Palma.—To a certain extent, the nautical industry has heard it all before - the Balearic government's intention to raise the issue of the controversial matriculation tax on yachts of over 15 metres in length with Central Government with the aim of having it scrapped.

But, not until yesterday morning had the Balearic President, Jose Ramon Bauza, made the pledge to the global nautical industry and media.
During “the future of superyachts” conference in Palma, which was attended by over 80 senior members of the global industry, delegates and the President discussed the importance of nautical tourism to the islands and their entire local economy, including tourism and industry.

But, delegates stressed upon Bauza that, despite this, global charter yachts over 15 metres in length have for years now been refraining from using the Balearics because of the fiscal threat denominated “Excise Duty on Certain Means of Transportation”, applied only in Spanish territorial waters.

This causes significant losses of high-level tourism revenue and, what is worse, yachts and yacht owners stop using the region for maintenance and repair services.

Nationally, the so-called ‘mat tax' is costing the economy hundreds of millions of euros per year and Margarita Dahlberg, the President of the Association of Balearic Nautical Businesses, told the conference, that the Balearics is losing as much as six million euros, if not more, every year, because of the tax.

As one source told the Bulletin, charter yacht managers have quite simply been told to “stay away from the Balearics'' for the past five years or more by yacht owners because of the tax and that has all but depleted the luxury charter industry which has simply moved elsewhere in the Med., “where such taxes are not applied.” Bauza, has met with the local nautical industry on previous occasions to discuss the ‘mat tax' but he has never so publicly committed himself to taking the issue up with Central Government in order to have it lifted. “That's probably been the most encouraging sign from the government so far, let's hope he sticks to his word,” the Bulletin was told after yesterday's meeting.

Bauza believes that lifting the tax would greatly benefit the local economy, the employment sector and quality tourism.