Wednesday, July 3, 2013

Beware Hidden Taxes in Greece

Surprise surprise, there is a tax on non-EU boats in Greece that stay longer than 2 months. Unbeknownst to us, that includes being in dry dock. At 14.5 euros per meter per quarter * 3 quarters * 15 meters = 806 Euros … that’s what we need to pay to get our cruising permit. Ouch.

To make matters worse, there are other factors. The first is that the  Port Police write up a statement that you must take to the Tax office – 15 blocks away – so they can type it into a system, you can pay, they give you a receipt to take back to the Port Police, so you can get your Transit Log (cruising permit). The second issue was that the Government employees were on strike on Thursday and Friday. Forget about paying until the following Monday. The third problem is that it was due in cash. I had 300 Euros when I left Canada … thinking this would be plenty. The work done on the boat ... payment only in cash – there’s 900 Euros required. The tax on the boat – 800 Euros. The rub is that I can only get a maximum of 600 Euros out of the bank machine at any time. I had to go to the bank on the 28th, 29th, 30th, 1st, and 2nd of July to take out 600 Euro’s each day. Why the extra thousand … everyone wants cash and if live in a cash economy you had better have more than $100 in your wallet.
Ross and I rented scooters and rode 60km's to pay our taxes.


It makes the price at Cleopatra a little less attractive, but I need to remember that it costs me 25% more to keep our 24 foot powerboat in Coal Harbour than it does to keep Tara at Cleopatra – taxes and all.

Now what can happen to you when the tax collectors are on strike and you haven't paid your taxes?  Being both experienced, cautious and wanting to follow the rules (like who really wants to be in jail in a foreign country), we had a couple of choices ... stay in the Marina or not stray far and then return on Monday to the tax office via scooter. We quitely made our way to Lefkas and then took scooters to pay the tax the first morning the tax office was open. Waited in line an hour to get them to enter it into a computer, then another 15 minutes to dole out seventeen 50 euro notes and get a receipt. Then off to Port Police for our stamp and away we go. I did ask for a receipt -- they almost didn't give it to me, but I have a very dim photocopy of the receipt -- in case someone else decides we need to pay again.

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