Demystification of the TEPAI
Demystifying TEPAI: Navigating the Greek special tax for boats
If you are planning to explore Greece’s beautiful coastal waters with your boat, there is one important point you need to consider: the TEPAI tax. This special tax for boats, which was introduced in 2019, has caused confusion for many boaters. In this article, I want to help you understand the details of this tax so that you can enjoy your sailing holiday in Greece without any nasty surprises.
What is the TEPAI tax?
TEPAI stands for ‘Tax on Recreational and Daily Tour Cruise Ships’ and applies to all owners of recreational and charter boats travelling in Greek waters. The tax is levied on both Greek and foreign boats and is mandatory if you moor your boat in Greece or are travelling in the country’s waters for any length of time.
Who has to pay TEPAI?
All owners of leisure boats that are longer than 7 metres and navigate Greek waters or anchor in Greek ports must pay the TEPAI. It is irrelevant whether the boat is used for private purposes or for commercial purposes, such as charter tours. Even if you leave the boat in Greece and do not sail on it yourself, the tax still applies.
How is the tax calculated?
The TEPAI is calculated on the basis of the boat length and is broken down as follows:
- Boats between 7 and 8 metres pay 16 euros per month.
- Boats between 8 and 10 metres pay 25 euros per month.
- Boats between 10 and 12 metres pay 33 euros per month.
- For boats over 12 metres there is a basic rate of 8 euros per metre per month.
For boats over 12 metres, there is also an option to receive a 25% discount on the tax if the boat remains in Greek waters for at least one year and the tax is paid in advance for the entire year.
When and how must TEPAI be paid?
The TEPAI must be paid in advance for each month in which the boat is sailing in Greek waters or moored in a Greek harbour. Payment is made via an online portal of the Greek government and you must pay the tax for the month in question by the last day of the previous month at the latest.
Please note that you may face severe penalties if you fail to comply with the TEPAI obligation. If the tax is not paid on time or in full, you could face heavy fines and be banned from sailing in Greek waters.
What are the exceptions?
There are some exceptions where the TEPAI is not collected. These include
- Boats that are shorter than 7 metres.
- Boats that are used exclusively for commercial purposes (e.g. as fishing boats).
- Boats travelling only through Greek waters without docking in a port or staying in Greek territorial waters for more than 24 hours.
Why was TEPAI introduced?
The Greek government introduced the TEPAI as part of austerity measures to generate additional revenue and make tourism more sustainable. The tax primarily affects foreign boats travelling in Greek waters and is intended to ensure that all boaters who use the country’s maritime facilities also contribute to their financing.
What should you keep in mind?
If you are planning a sailing trip in Greece, it is important to familiarise yourself with the TEPAI regulations at an early stage. Register your boat in the online portal in good time and make sure that the tax is paid correctly for each month that you sail in Greek waters. This way you avoid unpleasant surprises and can enjoy your holiday worry-free.
It is also advisable to always obtain up-to-date information on TEPAI, as there may occasionally be changes to the amount of tax or payment methods.
Our summary
The TEPAI is an additional tax that you have to pay as a boat owner in Greece. Although it may seem a little bureaucratic, it is relatively easy to handle if you keep an eye on the deadlines and amounts. Once the formalities have been completed, nothing stands in the way of your sailing adventure in Greece – and you can enjoy the beautiful islands and bays to the full.
