End of the scenarios for reducing the VAT on private ferry tickets for the transport of cars and motorbikes. According to information, the issue was discussed at yesterday’s cabinet meeting and after it was estimated that the fiscal cost is high, all discussion was closed.
The cost of reducing VAT from 24% to 13% on ferry tickets for vehicles is estimated at €100 million per year, while the effect is considered dubious since, according to relevant actors, VAT reductions do not ultimately have a positive impact on the accuracy front as they do not “pass” to the end consumer.
The “window” for the reduction of the VAT rate on coastal ferries was opened on Monday by the Minister of Shipping, Christos Stylianidis, who in his statements to Parliament said that “negotiations are underway with the Ministry of Finance in order to harmonize the VAT imposed on Private Use vehicles and engines, based on European Directive 2022/542” which enables member states to apply lower VAT rates. In fact, the minister had argued in favor of the possibility of direct control of the transfer of the reduced VAT to the ferry tickets as the ferry companies are obliged to inform within three days of any adjustment of their tickets.
According to the minister, ticket prices for conventional ships are stable and slightly decreasing and increased for high-speed ferries and intra-island connections, while the further expansion of special discounts and offers is being discussed in the contacts he has with the ferry companies
The prices on the coastal ferries
According to data provided by PaSoK-KINAL in its relevant question in the Parliament, the prices of coastal ferries from 2019 to today have increased by up to 60%. Specifically:
- Chania: The price of a single ticket (Economy Class – Deck) increased from 27 euros in 2019 to 41 euros in 2024, an increase of 51.85%. For tickets by car, the price increased from 49 euros to 79 euros, i.e. more than 60%.
- Santorini: A simple ticket cost 41 euros in 2019, now it costs 58 euros, while by car the price increased from 91 euros to 128 euros, i.e. a 40% increase.
- Rhodes: The price of a single ticket increased from 65 euros in 2019 to 91 euros in 2024, an increase of about 39%. For tickets by car, the price increased from 104 euros to 150 euros, i.e. 44%.
- Tinos: The price of a single ticket increased from 35 euros in 2019 to 49 euros, while by car the price increased from 79 euros to 110 euros, i.e. a 40% increase.
- Paros: The price of a single ticket increased from 36 euros in 2019 to 50 euros, while by car the price increased from 83 euros to 116 euros, an increase of 40%.
In fact, as the PaSoK MPs stated in their question with a preliminary survey, these prices are up to 60% higher than the prices for corresponding routes in Northern Europe.
For example, on the Oslo-Copenhagen route, which is marginally longer than the Piraeus-Rhodes route, namely 316 nautical miles, compared to 296 on the Piraeus-Rhodes route, a family of four with an internal cabin and a car travels with 696, when in Greece for the corresponding route the cost amounts to 1105.50 euros.
Source: ot.gr
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