Spanish Politicians come to aid of yacht lobbyists

Pressure increases on Madrid's punitive matriculation tax regime.

Politicians in Catalonia and the Balearic Islands have finally come into line with industry lobbyists who are fighting for the repeal of Spain's 12 per cent matriculation tax on charter yachts over 15m (49ft).

The punitive tax — imposed by Madrid's socialist government — is costing Spain's boating and superyacht sector millions of Euros a year in lost revenue.

The regional politicians have sent a strongly worded proposal to Madrid demanding that the tax is repealed immediately.

To reinforce the message, they have also sent a submission to the EU Commission pointing out that the tax represents a clear discrimination against EU citizens, goes against the EU's fundamental ethos of free movement of persons and the free establishment of companies — and harms Spain's tourist and commercial interests.

Jonathan Syrett, Managing Director of Camper & Nicholsons International in Palma and Vice President of the Spanish superyacht association, has been at the forefront of the fight and he believes this latest move is a vitally important development.

"We're delighted that the politicians have finally picked up on this issue and taken it to European Commission," he says. "It gives all of us who are fighting this punitive tax further ammunition."

According to Syrett, 30 British yacht owners recently withdrew their vessels from the Balearics because of the tax and have now grouped together in the UK to mount their own legal appeal against the tax before the European courts.

And the pressure on Madrid will be compounded even further by the fact Palma is negotiating to be one of the venues for the next America's Cup qualifying series in 2013.

"The current organisers of the AC are well aware of the problem and are committed to putting a superyacht programme in place — but only the large yachts can come and play," says Syrett.