Posted: 2nd August 2018 | Written by: OnboardOnline
Last year, Dominion Marine took the opportunity to rebrand its entire business and launched their new ‘DM84’ image and website reflecting the pedigree of a company built on over 30 years of success in the superyacht industry.
Founded by CEO Chris Allix, the company has continued to grow year on year and now has a large team of knowledgeable and dedicated marine specialists, with offices in five different jurisdictions.
Depending on how and where an owner intends to operate their yacht, navigating the financial and regulatory considerations requires expert knowledge in terms of jurisdiction, ownership structure, fiscal registration, VAT status and crew management.
Since 1984, Dominion Marine has incorporated over 1,500 ownership structures for both private and commercial superyachts in numerous jurisdictions, including the Isle of Man, BVI, Cayman Islands, Malta and Monaco.
For owners wishing to charter their yachts, the ever-changing EU VAT rules and regulations pose a particular challenge, but Dominion Marine took the initiative in developing several robust solutions: The Monaco Rental Solution for superyachts over 40m and, more recently, the Cyprus Rental Solution which is ideal for superyachts under 40m.
Dominion Marine offers both the Monaco & Cyprus Rental Solutions. These corporate ownership solutions are ideal for superyachts flying any flag, intended for private use, commercially registered superyachts wishing to go back to private use only, and superyachts currently under temporary admission looking to be imported into the EU.
These are the most cost-effective solutions in Europe for qualifying private vessels and both are fully approved by the respective Tax & Customs Authorities.
Until current uncertainty around the Cyprus and Malta Leasing schemes is fully resolved, Dominion Marine’s Rental Solutions are the only socially acceptable VAT solutions, and the only alternative to paying VAT in full upon acquisition of a yacht.
Both Rental Solutions have been adopted by numerous vessels between 24m - 85m, all of which have stood up to scrutiny by Customs. Both also have the full support of local government and all clients are pre-approved by the authorities before proceeding.
In contrast to Leasing Solutions in Cyprus and Malta, both Rental Solutions are clearly an operational lease due to the following:
There is no expectation that the renter will acquire the yacht at the end of the rental period.
At the end of the rental period, it is expected that the client will enter in to a new rental agreement.
If the yacht is acquired at any time during the rental period, the VAT is payable at the full rate in the jurisdiction in which the yacht is berthed at the time of acquisition.
The total rent paid during the rental period is only a fraction of the acquisition price.
As an owner, the flag you choose for your yacht can have a significant impact on your potential liabilities, privacy and enjoyment with a number of factors to take into account.
Dominion Marine has considerable experience assisting yacht owners in choosing the most suitable flag state in relation to their residence and tax status, ownership structure and cruising grounds. Dominion Marine also provides advice on compliance with MLC 2006, technical support for captains, emergency response and shoreside support, and crew certification.
To assist with the complexities of hiring crew, Dominion Crew Solutions Limited provides cost-effective crew employment and payroll services, which are fully compliant with MLC 2006. As well as managing crew contracts and salaries, additional benefits to owners include the effective mitigation of EU employer liabilities for social security, the removal of employment liabilities from the beneficial owner and round the clock guidance on all crew employment matters.
With an eye to the future, Dominion Marine attends or exhibits at all the major yacht shows each year, connecting directly with captains, yacht managers and lawyers to keep on top of market trends and changes in ever evolving legislation. So while the landscape inevitably shifts impacting decisions around the ownership of a superyacht, Dominion Marine is set to remain a cornerstone of the industry with an equally bright future ahead.
Please contact us for further information.