Tag: Moore Stephens

Shipping confidence up as scrapping increases

Moore Stephens Warns on VAT Changes

Moore Stephens calls for rethink on capital gains exchange rate distortions on ships

Shipping confidence falls to four-year low

Moore Stephens Envisages Increased Pressure for Incipient Impairment in Shipping

Shipping adviser Moore Stephens welcomes this desicion International accountant and shipping adviser Moore Stephens has welcomed the UK government's decision to minimize the effect of new rules in Finance Bill 2012 which resulted in a potentially serious trap for existing UK shipowners entering tonnage tax.Finance Bill 2012 originally extended some anti-avoidance rules relating to leasing companies, so that they applied to existing UK shipowning companies chartering out ships which enter UK tonnage tax. But the rules have now been changed following representations made by Moore Stephens and by other shipping industry representatives.Moore Stephens tax partner Sue Bill says, "The rules apply where, very broadly, at least half the value of the company's plant and machinery is chartered out or at least half its income in the previous twelve months is from the chartering out of plant and machinery, including ships, even where the chartering is to another group company."As originally drafted, the proposed new rules could have applied where a UK shipowning company in a tonnage tax group entered tonnage tax because it started to carry on activities which qualified for tonnage tax, for example because it owned a vessel which ceased to be chartered out on a long-term bareboat ...

EC's review of the EU State Aid Guidelines to Maritime Transport The start of the EC's review of the EU State Aid Guidelines to Maritime Transport was announced on 14 February 2012. These guidelines cover European tonnage tax regimes as well as other state aid to the maritime sector.The EC has published a detailed and very comprehensive questionnaire regarding these state aid guidelines, inviting responses from citizens, organisations and public authorities.The EC says the objective of the consultation is to invite member states, other institutions and stakeholders to provide information on industry developments, feedback on the application of the 2004 Community Guidelines on State Aid to Maritime Transport (due for review within seven years of their date of application) and their effects, as well as any comments and proposals regarding state aid for maritime transport.The Commission will analyse the outcome of the consultation before deciding to what extent changes to the current rules are necessary and, if appropriate, come forward with a proposal for revised guidelines. At this stage, the Commission has not taken a position concerning a possible modification of the existing guidelines.Moore Stephens tax partner Sue Bill, said: "We hope the EC will bear in mind the importance ...

Shipping's glass is still, remarkably, more half-full than half-empty. Shipping is going to need a great deal of resilience to meet the challenges of the next 12 months, according to international accountant and shipping adviser Moore Stephens. But, for those who can secure funding, there have been few better times to invest.Julian Wilkinson, head of the Moore Stephens Shipping Industry Group, said: "More than ever, shipping will be an industry for long-term players. Operating costs increased in 2011, while the global economic climate deteriorated at a rate outpaced only by the growth of sovereign debt in some eurozone countries."The markets are languishing, and are likely to fall further. We have seen how, for the first time in a long while, some of the big tanker-owning companies have come under financial pressure. More owners and operators are likely to seek to renegotiate agreements with their financiers or with the yards building their ships, or both. And we can expect finance costs to increase, along with operating costs. Overtonnaging, meanwhile, remains the spectre at the feast, were there a feast to enjoy."We may see government intervention in 2012 to rescue ailing yards, at least on the part of those governments still in ...

faces a growing threat from other jurisdictions Leading accountant and shipping adviser, Moore Stephens, has welcomed the UK government's decision to issue consultation papers on statutory residence and the taxation of non-domiciliaries. But it warns that the UK shipping industry faces a growing threat from other jurisdictions.Her Majesty's Revenue & Customs' consultation papers propose a statutory residence test and certain changes to the taxation of non-domiciliaries with effect from April 2012. "These could have important implications for shipping," said Moore Stephens shipping partner, Richard Greiner, "and are generally to be welcomed".The stated objectives of the non-dom taxation reforms are to ensure that non-doms make a fair tax contribution and to encourage non-doms to invest in the UK. To achieve the latter objective, the government intends to allow non-doms to remit overseas funds to the UK tax-free for commercial investment in a qualifying business. Greiner added: "Although these measures are at present the subject only of a consultation paper, and could change as a result of responses received by the government before the cut-off date of 9 September 2011, they represent a positive development."Similarly, the draft proposals for a statutory residence test should result in rules which are clear and fair, ...