EU Okays Danish Seafarer Support Scheme

Maritime Activity Reports, Inc.

February 25, 2019

Image: Danish Maritime Authority

Image: Danish Maritime Authority

The European Commission has approved under EU State aid rules extending a scheme supporting the maritime transport sector in Denmark, including the ones working in the offshore wind industry.

Under the amended scheme, shipping companies registered in the Danish International Register of Shipping (DIS) and employing seafarers aboard certain specialised vessels providing off-shore activities, such as, for example, guard  vessels, vessels servicing off-shore installations and vessels for raising, repairing and dismantling windmills can benefit from an exemption from income taxes for their seafarers.

According  to a press release from the European Commission, this is in line with the Commission's interpretation of the Guidelines on State aid to maritime transport.

The Commission concluded that the scheme, which will run for ten years after its entering into force, is in line with these Guidelines because it will contribute to the competitiveness of the EU maritime transport sector, while boosting employment and ensuring a level playing field.

The scheme, as extended, applies to the same types of vessels covered by the extension of the Danish tonnage tax scheme, which was approved by the Commission on 12 October 2018.

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