Moore Stephens calls for EU tonnage tax stability

press release
Friday, February 17, 2012
Moore Stephens tax partner Sue Bill.

International accountant and shipping adviser Moore Stephens has called for stability for European tonnage tax regimes now that the EC has begun its review of EU State Aid Guidelines to Maritime Transport.

 

The start of the EC’s review of the EU State Aid Guidelines to Maritime Transport was announced on 14 February 2012.  These guidelines cover European tonnage tax regimes as well as other state aid to the maritime sector.  The EC has published a detailed and very comprehensive questionnaire regarding these state aid guidelines, inviting responses from citizens, organisations and public authorities. 

 

The EC says the objective of the consultation is to invite member states, other institutions and stakeholders to provide information on industry developments, feedback on the application of the 2004 Community Guidelines on State Aid to Maritime Transport (due for review within seven years of their date of application) and their effects, as well as any comments and proposals regarding state aid for maritime transport. The Commission will analyse the outcome of the consultation before deciding to what extent changes to the current rules are necessary and, if appropriate, come forward with a proposal for revised guidelines.  At this stage, the Commission has not taken a position concerning a possible modification of the existing guidelines.

 

Moore Stephens tax partner Sue Bill says, “We hope the EC will bear in mind the importance of stability to European tonnage tax regimes.  This is particularly important given the current difficult economic climate, and the fact that EU tonnage tax regimes are competing with other jurisdictions, such as Singapore, which offer very attractive tax breaks to the shipping sector.  It will be important for all interested parties in the EU to ensure that they are involved as much as possible in the consultation process.”

 

In a separate development, shipowners in the UK tonnage tax regime were recently encouraged by positive remarks made at the UK Chamber of Shipping’s recent annual dinner by Shipping Minister Mike Penning, who said the UK government had no intention of touching the UK tonnage tax regime.

 

Sue Bill says, “The minister’s remarks referred to HMRC’s reinterpretation of the rules relating to the requirement that strategic and commercial management of the ships is located in the UK.  HMRC has published revised, interim guidance which broadly reinstates HMRC’s pre-2009 position.  Further consultation with the shipping industry has been promised, although no additional information has been provided regarding the scope and timing of the consultation. 

 

“The minister’s comments are a very encouraging development, but it is not yet the end of the story.  It is important that the consultation goes ahead, so that final guidance can be issued, in order to give further reassurance to the shipping industry.  The government should take the opportunity to simplify and improve the regime. In addition, HMRC needs to act in a reasonable and consistent manner with regard to all matters relating to the UK tonnage tax regime, not just the strategic and commercial management test.

 

“As the UK government is required to act within the EU guidelines, the outcome of the EC review will also be important.”
 

Maritime Today


The Maritime Industry's original and most viewed E-News Service

Maritime Reporter April 2016 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Ports

Adani Ports profit Up

Adani Ports and Special Economic Zone Limited (APSEZ), India’s largest port developer and part of Adani Group, has announced the financial results for the fourth quarter and year ended March 31,

Libya Eastern Oil Company Blocks Tanker Loading Crude for Tripoli Rival

An oil company set up by Libya's eastern government is preventing a tanker from loading a cargo for its Tripoli rival, the National Oil Corporation (NOC), officials said on Tuesday.

CRMG Cranes Arrive in Mersey for Liverpool2

First six of 22 to be installed at £300m terminal; arrival marks end of 13,730 mile (11,930nm) journey from Nantong, China   The first six cantilever rail-mounted

Finance

Maersk Profit Plunges

Danish shipping and offshore energy conglomerate Maersk Group reported its profit at US$ 224 million for the first quarter of 2016, a drop of 86 percent compared to $ 1.

CMA CGM Announces Emergency Operational Surcharge for Zanzibar

CMA CGM has announced to its customers that there is increasing deterioration of the port congestion up to 15 days in Zanzibar, Tanzania, which is beyond their control.

Adani Ports profit Up

Adani Ports and Special Economic Zone Limited (APSEZ), India’s largest port developer and part of Adani Group, has announced the financial results for the fourth quarter and year ended March 31,

News

Container Market - Between a Rock and a Hard Place

The pain of the current container market downturn extends beyond carriers, says Drewry's Container Insight Weekly.    Some independent ship-owners are faced

CMA CGM Announces Emergency Operational Surcharge for Zanzibar

CMA CGM has announced to its customers that there is increasing deterioration of the port congestion up to 15 days in Zanzibar, Tanzania, which is beyond their control.

Libya Eastern Oil Company Blocks Tanker Loading Crude for Tripoli Rival

An oil company set up by Libya's eastern government is preventing a tanker from loading a cargo for its Tripoli rival, the National Oil Corporation (NOC), officials said on Tuesday.

Government Update

Libya Eastern Oil Company Blocks Tanker Loading Crude for Tripoli Rival

An oil company set up by Libya's eastern government is preventing a tanker from loading a cargo for its Tripoli rival, the National Oil Corporation (NOC), officials said on Tuesday.

UN to Start Inspecting Commercial Shipments to Yemen

The United Nations will start inspecting shipments to rebel-held ports in Yemen in a bid to boost commercial imports and enforce an arms embargo, the world body said on Tuesday,

US Leaders Work toward Supply Chain Innovation

The Federal Maritime Commission’s (FMC) Supply Chain Innovation Team Initiative, led by Commissioner Rebecca F. Dye, was launched today at FMC headquarters in Washington, D.

 
 
Maritime Careers / Shipboard Positions Maritime Contracts Maritime Security Pipelines Pod Propulsion Port Authority Ship Electronics Ship Simulators Shipbuilding / Vessel Construction Winch
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.1804 sec (6 req/sec)