Yacht owners are very careful when choosing a country for registration, because it depends on the amount of taxes, the frequency of inspections and the list of countries to which you can travel under simplified conditions. Find out what is important to consider when choosing a country for yacht registration and which countries in the world are the best for this procedure

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Choosing the right country for yacht registration is extremely important, because it affects the amount of taxes that the owner of the yacht has to pay. Also, certain states may impose restrictions that will create additional inconveniences. Top of the best countries for yacht registration below.

What is important to consider when choosing a country for yacht registration?

The choice of country for yacht registration is influenced by the following indicators:

- Citizenship of the owner and place of residence.

- Regions where you are going to swim most often.

- Ways of using the yacht – are you going to use the yacht for recreational or commercial purposes.

- Characteristics of the yacht, such as year of construction, length, tonnage and compliance with international standards and conventions.

- Financial status of the yacht.

- Nationality of the crew.

What makes a country a good place to register your vessel?

There are many factors that influence the choice of country to register your vessel, and you should know what is right for you and what is most important:

Amount of taxes and fees

Vessel registration fees are high and offshore registries are relatively inexpensive. This can save a lot of money, but the size of the vessel, the legal structures required and the costs of inspection and documentation make it difficult to determine exact figures.

Taxes are also a major factor, whether it's taxes on crew wages, vessel profits, goods and services purchased for the yacht, or capital gains from its sale.

Easy access

Fast registration and access to qualified support in the event of a problem are extremely important. Companies with offices around the world can handle document management in your country or in places you may be visiting.

Support for the Paris Memorandum of Understanding

The Paris Memorandum of Understanding is an international agreement that regulates security, inspections, and standardizes port procedures in member states.

According to the Memorandum of Understanding, each vessel has a "Risk Profile". This profile controls the frequency of checks upon arrival at a foreign port. The lower the risk, the fewer inspections are required. A significant part of the risk is the flag country. To avoid frequent inspections, it is best to choose a low-risk country that supports the Paris and other MoUs.

Port access

Not every country gets along with other countries, and some countries do not have the best global reputation. If you choose the wrong country, you may find that your boat cannot visit some ports around the world. It is best to choose a country whose flags do not have international restrictions.

For safe relocation to any country in the world, obtaining citizenship and employment, use the advice of an international lawyer. We help to solve complex and simple issues for your comfort and safety in any part of the world. 

Top 6 best countries for yacht registration

Malta

Malta is a good country to register a yacht, especially if you intend to sail in EU territorial waters.

The country takes a pragmatic approach to yacht registration and offers several tax breaks for yacht owners. The country does not charge any corporate income tax, capital gains tax and withholding tax. Currently, there are no restrictions on the nationality of yacht crew in Malta, but the situation may change in the future.

The Malta Register of Marine Vessels has a good reputation for a robust legal and regulatory system, which is one of the largest such systems in the world.

Registering a yacht in Malta allows you to easily obtain bank loans and possibly buy another yacht.

- Registration fees

Pleasure yachts under 24 meters in length and 50 gross tons (new/yearly): €115/€200. Pleasure yachts over 24 meters long (new/yearly): €25 per ton, minimum €250/€40 per ton, minimum €400.

Cayman Islands

Cayman Islands is a Red Ensign Group country with favorable tax laws. There are no country of origin restrictions for the crew and captain, although proof of qualification of the ship's captain is required. A Cayman Islands-flagged cruise ship can cruise the US with minimal difficulty.

Registry offices in fifteen countries process registrations quickly, and your vessel can be registered almost immediately if you pay for expedited shipping.

- Registration fees

The basic registration fee is around US$700 and the annual fee for private yachts is US$500.

Cyprus

Cyprus is not only a great place for a yacht cruise, it is also one of the best places to register your yacht. The registration process exempts vessels from income taxes in international waters, crew taxes outside Cyprus and taxes on dividends from the owning company.

Cyprus is whitelisted by the Paris Memorandum of Understanding and is a low-risk flag worldwide.

- Registration fees

The annual registration fee starts at 300 euros.

Marshall Islands

Yacht registration in the Marshall Islands is carried out through the American corporation International Registries. The corporation has offices in many countries. The country is also known for having regional offices in many port cities around the world. Provides 24-hour ship and yacht registration services. The yacht registration procedure takes only one day. You can sail freely on your yacht registered in the Marshall Islands in the EU and other regions of the world.

The country is included in the white lists of the Paris and Tokyo Memoranda of Understanding and meets the requirements for international yacht registration.

- Registration fees

Registration fees for private yachts under 24 meters (79 feet) start at US$1,600, including annual tonnage tax of US$750. The minimum registration length is 12 meters (39 feet).

Liberia

Yacht registration in Liberia is handled by a company owned and operated by the United States. It also has offices around the world with 24/7 support and a large number of inspectors. This is one of the most popular places to register commercial shipments.

Taxation is low and fixed based on tonnage, and treaties prevent double taxation with most countries. There are no nationality restrictions for crews and captains, although they must be qualified. It is whitelisted by the Paris Memorandum of Understanding, the Tokyo Memorandum and the IMO. The flag is low risk and accepted in most countries.

- Registration fees

Smaller vessel registrations start at $2,500.

Panama

Panama is not only a popular destination when it comes to offshore banking or obtaining a second passport, it also has the second largest ship registry in the world, with over 9,000 ships registered under the country's flag. Panama has a very simple transfer process; for example, many other countries make your dry dock available for inspection, but Panama does not. Because their process is so simple, it eliminates downtime concerns for ship owners and companies.

Many countries require yacht owners to pay taxes when registering their vessel, but Panama does not. There are also no taxes on profits made through international trade. You also don't have to pay taxes on crew members' wages. The main reason people choose to register in Panama is the lack of taxes.

- Registration fees

Instead of taking into account the size or tonnage of your vessel, Panama charges a flat fee for yacht registration to keep things simple. If you are not Panamanian or a Panamanian business owner, you will pay a flat fee of $1,500 to register your yacht. If you are Panamanian, it costs $1,000 to register your yacht.

We will remind you! When choosing a country to move to and obtain citizenship, it is important to pay attention to the mobility indicator and the strength of the passport. We have already told which Latin American countries can boast of the strongest passports in the region.

Are you planning to travel or move abroad? An important component of a successful trip is a travel insurance policy, because it guarantees the provision of high-quality medical care in any corner of the world and is able to protect you from unnecessary expenses during the trip. You can buy insurance from verified agents on the Visit World portal.

Products from Visit World for a comfortable trip:

Travel guide for 200 countries;

Legal advice from a local specialist on visa and migration issues;

Travel insurance around the world (please select the country of interest and citizenship to receive services);

Medical insurance all over the world.

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