In November, the Croatian government voted on a fiscal consolidation package to reduce the country’s deficit. One of the measures included an increased intermediate Value Added Tax (VAT, or PDV, as it is called in Croatia) rate from 10% to 13%.
Travelers organizing a yacht charter vacation in Croatia need to be aware of this increase, as the costs will certainly be passed along by the yacht owner to the charterer.
According to Hansel Sneed, a luxury yacht charter industry expert, other increases should be expected as well. “In each of the past three summer seasons, we have seen an increase in interest in Dalmatian yacht charter adventures in Croatia,” says Sneed. “We are advising our clients to budget not only for the increase in VAT, but also for the higher excise taxes on fuel that were approved in November. In short, the cost to enjoy both a Croatia bareboat rental or a fully crewed yacht vacation will cost about 5% more in the summer of 2014.”