In accordance with European laws, short-term charter agreements necessitate the payment of VAT at the prevailing rate in the European Member State where the customer gains access to the transportation means. Yacht owning companies are obligated to either register for VAT in all EU countries where the charters will commence or appoint a fiscal agent to handle the collection and payment of VAT on charters. Consequently, VAT must be paid in the country where the charter begins and may vary depending on your itinerary.