Novigrad? What's up?

[Baggywrinkle]

Went into Novigrad marina last week (by road) to look for an annual berth and was greeted on the gate by a security guard who told us the marina was closed. Gates were shut and no-one was going in or out. Anyone know what's going on?

 

[mjcoon]

Went into Novigrad marina last week (by road) to look for an annual berth and was greeted on the gate by a security guard who told us the marina was closed. Gates were shut and no-one was going in or out. Anyone know what's going on?

No, and I've only been to Pula on Istria to pick up charter boats.

Via Google, found:

Plava Marina D. O. O.
Karpinjanska, 52466, Novigrad, Croatia
+385 52 758 007

Perhaps D.O.O. = DOA? Or could risk ringing the given phone number...

Mike.

 

[BrianH]

Went into Novigrad marina last week (by road) to look for an annual berth and was greeted on the gate by a security guard who told us the marina was closed. Gates were shut and no-one was going in or out. Anyone know what's going on?

Only hearsay on the local marina (Northern Italian) grapevine but understand the new marina has gone bankrupt - as did the first incarnation a few years before. That, I believe, was salvaged by the new management, Civitas Nova, who revoked, without compensation, the sale of private berths there. I know a German boat-owner burned by that episode.

I cannot understand the whole situation. Marina berths are in demand and at a premium so a proper business plan should be viable - at least until Croatia attains EU accession, planned for 2012. Then there may be an exodus of VAT eligible yachts, just as the Guardia di Finanza drove out the armada from Italy to fill the Croatian marinas in the first place.

Edit:
A search trawled up a few more points.
Current bankruptcy became effective October 2010, forced by a conflict of two creditors about recovery of the debt - the major creditor, the Austrian Hypo Alpe Adria Bank, which is owed EUR 21 million, and a private Austrian investor.
Present berth-holders are allowed to remain but no new entry is allowed. A security company has been retained to ensure closure and all the 50 staff have been laid off.

 

[Baggywrinkle]

That would explain it then.

I can't understand how anyone can fail to run a viable marina in Istria, every one we visited between Umag and Pomer was full and had a waiting list.

Crazy ...

 

[BrianH]

That would explain it then.
I can't understand how anyone can fail to run a viable marina in Istria, every one we visited between Umag and Pomer was full and had a waiting list.
Crazy ...

Have you considered Portoroz and Izola in Slovenia? They are just a short hop from northern Istria where you are currently searching. Unless, of course, your yacht is also not VAT-paid and you prefer a non-EU country - even for a year or two before Croatia accedes.

Then again, if you are going to have a day's sailing to get anywhere you may as well come to Italy, an even shorter drive from southern Germany.

Both countries would be an improvement on Croatia, in my opinion; the disadvantages being the sailing to get to the best bits of the Adriatic. But hey, that's what we do and enjoy, isn't it?

 

[Baggywrinkle]

Boat is currently VAT unpaid lying in Croatia, only further south. Going to wait and see what the rules relating to VAT unpaid boats are when Croatia joins the EU - date is apparently 1 June 2013.

http://en.wikipedia.org/wiki/Accession_of_Croatia_to_the_European_Union

Afterwards, it will definately be worth looking in Slovenia and Italy 'cos there are no non-EU states left that can be reached in 6-7 hours by car

 

[Seven Spades]

I would imagine that any boats in Croatia on a particular date or range will be exempt. After all you can't create a liability when the country joins the EU because it would otherwise apply to all goods in Croatia.

If you are buying a new boat it might be a way to get it tax free, provided tyhe cut-off date has not already passed.

What happened when Malta joined?

 

[neil1967]

I wonder if it would be worth moving a non tax paid boat to Croatia before she joins the EU, so that she becomes deemed tax paid or exempt on accession? Could save a considerable amount of money. Any ideas where the rules on this sort of thing will be published?

Neil

 

[BrianH]

I would imagine that any boats in Croatia on a particular date or range will be exempt. After all you can't create a liability when the country joins the EU because it would otherwise apply to all goods in Croatia.

This is just not true - it didn't happen in Slovenia - all EU-flagged yachts were immediately and retrospectively taxed at the country's current VAT rate. In Malta there was a significant reduction to the rate. However, the Croatian finance ministry has already made a statement ruling out the Malta solution, according to an information letter from Karl-Heinz Beständig, editor of the '888 Hafen' handbooks. According to that information, all owners of EU-registered boats will be taxed at 23% of the 2013 value.

Italy had been lax in imposing the tax on non-Italian EU-flagged yachts until Brussels turned the screws, whereupon the Guardia di Finanza - a ferocious and highy feared agency - began to bite. There was then a panic, especially among the large and expensive mobos resident on the east coast, who flocked en masse over the Adriatic to Slovenia (not at that time an EU member) and to Croatia. Then Slovenia acceded and a further wave of tax asylum-seekers moved south, which is one reason why Croatia is bursting at the seams with EU-flagged boats - the other is the burgeoning Croatian charter fleets - leaving no spare marina berths there.

So where to in 2013 when Croatia accedes? Montenegro is too small and Albania is too undeveloped - and risky. Turkey or north Africa will be the only possible refuges for those determined to escape the Brussels tax machine.

 

[Seven Spades]

That's interesting but what if you have the boat Croatian flagged is that the answer?

 

[nimbusgb]

I wonder if it would be worth moving a non tax paid boat to Croatia before she joins the EU, so that she becomes deemed tax paid or exempt on accession? Could save a considerable amount of money. Any ideas where the rules on this sort of thing will be published?

Neil

Deemed VAT paid. Have fun getting a piece of paper for a UK registered vessel in Croatia at the time of accession that is acceptable throughout Europe and that says 'Deemed Vat Paid'. Tax authorities may be something of a pain but they are not complete idiots!

 

[Baggywrinkle]

On 1st June 2013 the party is over in Croatia.

Foreign flagged vessels that have not paid VAT will be billed - the question is at what rate.

Slovenia didn't have such a huge yachting, charter and marina industry so chose their current VAT rate.

If Croatia do this then at 23% almost every expensive foreign flagged non-VAT paid boat will leave (perhaps only temporarily) for a cheaper EU state (Italy, Greece, Malta) to pay less VAT. This will deprive their marine industry and tax collectors of revenue. If they choose a rate comparable to other EU states then they get to keep the tax revenue in Croatia, and their marinas remain full - bearing in mind that once they've lost the foreign flagged tax advantages many will leave for Italy, Slovenia, Greece anyway.

This is all speculation as nothing concrete is yet published.

Croatian flagged vessels used privately have to pay Croatian VAT now anyway so there is no advantage to having a croatian flag. Boats that have already paid Croatian VAT will join the EU VAT paid.

Any concessions will most likely also be only applied to boats that can prove they were in Croatia before, say 2004 in order to stop people moving un-taxed yachts there to take advantage of concessions (if there are any). Again pure speculation.

One thing is certain - Croatia has a well recorded history of extracting as much as possible from visiting yachts and protectionism of its charter and marine industries. It remains to be seen how they decide to balance all their interests in June 2013.