Shipping Industry in Greece is plagued by Higher Taxes
Greece
In its negotiations with international creditors, this seafaring nation says now it will do what it has resisted doing for years—raise taxes on its globe-spanning shipping industry.
“Greek owners will do what needs to be done to stay competitive,” said Michael Boudouroglou, who runs Greece-based, New York-listed Box Ships Inc. and paragon shipping Inc., with a combined fleet of 25 container and dry-bulk vessels.
As part of bigger talks over a Possible debt financing deal with its international creditors, Greece has said it is intereseted in increasing tonning tax for Greece-based shipping companies, and will consider cutting other special tax advantages the industry has long enjoyed.
Those benefits include no taxes on profits from shipping operations, and no taxes on ship sales. Over the years, that has helped keep a big chunk of the global shipping industry based here.Greek owners operate almost 20% of the global fleet of merchant ships, and more than half of the European Union’s fleet. The industry makes up 7.5% of the Greek economy and employs around 200,000 people.
Related Posts