Tax amendment leads to significant growth in Balearics charter activity

According to a recent report released by the Spanish Association of Superyachts (AEGY), the Balearics has seen increased charter activity over the last year, due to an amendment by the Spanish government to a law, which made chartering in Spain prohibitive.

The report, which used figures provided by MYBA and leading brokerage houses, showed the number of yachts with licences to charter in the Balearics had increased by 516% in the last two years. However, it wasn’t until the end of this summer’s season that it has been possible to assess the real impact.

The report states that in 2013, there were 29 yachts over 20m with licences to charter in the Balearics; this figure then increased to 86 in 2015 with 37 yachts over 35m. It also stated that there are over 600 yachts available for charter in the Mediterranean and anticipated that 100 of those would be registered for charter in Spain in time for the 2016 summer season.

Also, according to figures provided by the Spanish tax authorities, the amount raised by the matriculation tax on yachts over 24m in 2012 was zero for the Balearics and €4million for the whole of Spain, in terms of tax and local spending. Yet the AEGY estimated the total net revenue generated by charters in 2015, would be €12.5million.

Diego Colon, president of the AEGY commented, “We are delighted to see such a significant increase in charter activity in the Balearics and we are confident that this will continue to grow in 2016. The Balearic Islands are enormously attractive to charter guests and it is significant that out of the eight major international brokerage companies, six now have offices on Mallorca.”

For more information, visit AEGY.