Will the increase in Spanish VAT cause issues for Med cruises

[peteukmcr]

For all those sailings that charge the Spanish Value Added Tax (VAT) on shipboard purchases currently at 8% meaning that a beverage costs an additional 23% (15% Gratuity and 8% tax) this 8% will increase to 10% following new austerity measures announced today.

 

This means beverages will cost an additional 25% very soon as this change is coming in very quickly.

 

Will this change your mind about a Med cruise?

Edited July 11, 2012 by peteukmcr

[welshrich]

I would probably take a short cruise, we did a 5 day cruise on Adventure about 2 years ago from Malaga, the 8% at the time did not impact too greatly but I can see how a larger family on a longer cruise might be put off. With the european worries maybe spreading I wonder if this might cause the general price to fall though and it might even itself out.

[Jetdriver787]

If the average drink costs $8 and you consume 8 a day for a week, the extra cost would amount to $1.12 per day in addditional VAT.

 

I can't imagine $7.84 (£5) a week additional cost is going to put too many people off.

[Bobal]

It would certainly put me off. We sailed on Adventure as a family of 4 a couple of years ago and it added an extra hefty charge to our final bill. There are so many other cruises in the Med to choose from that I wouldn't sail from Spain again unless the cruise was leaving the EU at one port, meaning the VAT doesn't get charged.

 

It's not just drinks, it applies to onboard purchases, Spa and Speciality Restaurants too - and a couple of meals for 4 there, along with drinks for 4 soon adds up to more than just a few pounds per day.

Edited July 11, 2012 by Bobal

[steve ch]

I thought the VAT only applied while you stayed in Spanish waters. That's what happened on my sailing from Barcelona last year. As soon as we hit international waters, the price returned to normal.

 

Is this something which is affected by the itinerary? I seem to remember something about including a non EU port to remove the VAT liability for the entire cruise. We went to Turkey, which would explain it.

[Langley Cruisers]

I thought the VAT only applied while you stayed in Spanish waters. That's what happened on my sailing from Barcelona last year. As soon as we hit international waters, the price returned to normal.

 

Exactly, us too Steve.

.

[peteukmcr]

I thought the VAT only applied while you stayed in Spanish waters. That's what happened on my sailing from Barcelona last year. As soon as we hit international waters, the price returned to normal.

 

Is this something which is affected by the itinerary? I seem to remember something about including a non EU port to remove the VAT liability for the entire cruise. We went to Turkey, which would explain it.

 

Exactly, us too Steve.

.

Very true but for those of us who choose roundtrip sailings out of say Barcelona, this tax applies at all times. If you're on a TA then it stops being charged out of Spanish waters, I haven't experienced what happens when you sail to somewhere which is a non-European Union port such as somewhere in Turkey so I can't comment.

 

I'm also interested to see what will happen on our upcoming sailing out of Civitavecchia where we visit ports in Italy, France and 3 in Spain (Barcelona, Palma and Valencia). Will we be charged the tax once we head to Barcelona after France and for the next 3 ports stops, and nothing back to Civitavecchia? Or will we be then charged the tax until we return to Italy?

 

The information provided to us when sailing out of Barcelona is that the tax is applicable during the whole sailing unless we sail to a non-European Union port e.g. a port in Turkey. So as in our last 3 sailings out of Barcelona where we visited ports in France and Italy, the tax was still applied throughout the cruise.

Edited July 11, 2012 by peteukmcr

[Bobal]

I thought the VAT only applied while you stayed in Spanish waters. That's what happened on my sailing from Barcelona last year. As soon as we hit international waters, the price returned to normal.

 

Is this something which is affected by the itinerary? I seem to remember something about including a non EU port to remove the VAT liability for the entire cruise. We went to Turkey, which would explain it.

 

My understanding is that it's not international waters which affects the VAT it's calling in one port which is non EU. If you take a look at the itineraries which sail from Spain they usually call in a non-EU port (Turkey, Montenegro, Gibraltar) and this gets round the VAT issue. When we sailed on Adventure we called in Ajaccio (which is French) and Cagliari (Italian) and got charged Spanish VAT.

 

I'm sure if I'm wrong about this someone will jump in and correct me ;)

Edited July 11, 2012 by Bobal

[peteukmcr]

If the average drink costs $8 and you consume 8 a day for a week, the extra cost would amount to $1.12 per day in addditional VAT.

 

I can't imagine $7.84 (£5) a week additional cost is going to put too many people off.

I think the figures will be an increase of $1.28 per day so $8.96 per week, and I agree, won't put me off, but as mentioned, for a family and if you use the speciality restaurants and spa, it can add up.

[Bobal]

Pete, was it you who had a copy of the notice which was placed in all the cabins regarding the charging of Spanish VAT? I seem to remember seeing it on here some time in the past.

Edited July 11, 2012 by Bobal

[pennys mum]

My understanding is that it's not international waters which affects the VAT it's calling in one port which is non EU. If you take a look at the itineraries which sail from Spain they usually call in a non-EU port (Turkey, Montenegro, Gibraltar) and this gets round the VAT issue. When we sailed on Adventure we called in Ajaccio (which is French) and Cagliari (Italian) and got charged Spanish VAT.

 

I'm sure if I'm wrong about this someone will jump in and correct me ;)

 

As far as i am aware you are correct. There is also no duty free on board if you remain in the EU.

[aggietd]

Now I am getting worried, We sail out of Malaga on the Adventure at the end of October heading for the Canaries and Maderia, does anybody know if we will pay this spanish VAT? we have no ports on the spanish mainland, I know the Canaries belong to spain but they are classed as duty free ports I believe, help I am so confused (not unusual, I think my dh would say!!).

 

Nancy

[Bobal]

Now I am getting worried, We sail out of Malaga on the Adventure at the end of October heading for the Canaries and Maderia, does anybody know if we will pay this spanish VAT? we have no ports on the spanish mainland, I know the Canaries belong to spain but they are classed as duty free ports I believe, help I am so confused (not unusual, I think my dh would say!!).

 

Nancy

 

You should be OK with the Canaries as they're duty free. We sailed from Palma and called in all EU places but one of them was Gibraltar (which is also duty free) so we didn't have to pay the VAT. :)

[Langley Cruisers]

...for those of us who choose roundtrip sailings out of say Barcelona, this tax applies at all times....

 

No... for this reason...

 

My understanding is that it's not international waters which affects the VAT it's calling in one port which is non EU. If you take a look at the itineraries which sail from Spain they usually call in a non-EU port (Turkey, Montenegro, Gibraltar) and this gets round the VAT issue...

 

This is the way it was with us last year. Pete, I understand what you are saying and why you say it, but, and no offense intended, your blanket stements do not cover all scenarios and itineraries. Just wanted to mention that.

.

[peteukmcr]

No... for this reason...

 

 

 

This is the way it was with us last year. Pete, I understand what you are saying and why you say it, but, and no offense intended, your blanket stements do not cover all scenarios and itineraries. Just wanted to mention that.

.

Apologies for misleading anyone. It's just that all our round trip sailings out of Barcelona did not call at a non-European Union port so the tax applied at all times regardless of whether the countries visited were out of Spanish territorial waters.

[peteukmcr]

Now I am getting worried, We sail out of Malaga on the Adventure at the end of October heading for the Canaries and Maderia, does anybody know if we will pay this spanish VAT? we have no ports on the spanish mainland, I know the Canaries belong to spain but they are classed as duty free ports I believe, help I am so confused (not unusual, I think my dh would say!!).

 

Nancy

 

You should be OK with the Canaries as they're duty free. We sailed from Palma and called in all EU places but one of them was Gibraltar (which is also duty free) so we didn't have to pay the VAT. :)

 

So this is why I get confused. When we sailed from Barcelona on a TA and visited EU ports (all Spanish BTW) we paid the tax until the sea day when we headed for the Canary Islands, then and only then did the tax disappear from subsequent charges.

[peteukmcr]

Pete, was it you who had a copy of the notice which was placed in all the cabins regarding the charging of Spanish VAT? I seem to remember seeing it on here some time in the past.

Yep, I'm guilty of confusing everyone :D

 

https://docs.google.com/open?id=0B1y6fxoIXyDxNHBSeU1jc2NUYVNDeWRILXhtdzJNdw

[nclsuncruiser]

I am thinking of going on a Royal Caribbean cruise from Barcelona to Rotterdam. Will I have to pay these taxes (there is no non eu port)

 

Thanks.

[Cruise Junky]

Were thinking of Allure out of Barcelona. If you bought and paid for the drink packages, excursions etc before boarding would you still pay the VAT?

[framboesa]

I'm confuse...I'll do the TA from Fort Lauderdale to Barcelona...this means that during the first days on the sea I pay one amount for merchandising aboard and the when we arrive to Portugal and Spain the same merchandising will be more expensive?:confused:

[TravelerThom]

My understanding is that it's not international waters which affects the VAT it's calling in one port which is non EU. If you take a look at the itineraries which sail from Spain they usually call in a non-EU port (Turkey, Montenegro, Gibraltar) and this gets round the VAT issue. When we sailed on Adventure we called in Ajaccio (which is French) and Cagliari (Italian) and got charged Spanish VAT.

 

I'm sure if I'm wrong about this someone will jump in and correct me ;)

Gibraltar is part of the EU, and has been since 1973. People of Gibraltar vote for the European Parliament as part of the South West England constituency. I think the VAT issue as far as Gibraltar is concerned is duty free status.

 

Thom

[PuterMonkey]

If I were at the point where I could spring for the flight to Europe plus the cost of a cruise, no, that wouldn't make a difference. I'd already be expecting that costs would be higher in general.

[newport dave]

If you call at Gibraltar, Canaries or a NON EU port then the additional Tax is only applicable whilst in Spanish Waters.